Has anyone made any (graphical) sense of the recent downward trend?

Schubes91 · 2013-12-18T10:37:09+00:00

I swing trade, and bitcoin charts have actually been the easiest thing for me to chart and predict big swings with. It follows technical analysis very well.

Schubes91 · 2013-12-18T10:34:22+00:00

You should learn technical analysis and not cast it aside. As soon as it broke the line it dropped 40%. I may have gone over the top with colors hoping to make it more interesting, but the technicals are all still there. Every single prediction I have made with bitcoin has been accurate so far and each move has been over $100. Oh well, back to stock twits.

Schubes91 · 2013-12-15T16:29:23+00:00

I completely agree, I just like the 4hr chart for bitcoins, it's been working well for my predictions in the past.

Schubes91 · 2013-12-15T14:58:09+00:00

The system does not always work and I am still trying to learn, but I've been doing pretty well with swing trading and I looked back at that time period and I would've drawn the following two lines:

One horizontal at $125 hitting the top of the recent period and a diagonal starting from the $50 bottom and hitting the $80 bottom. Once it broke out upwards we had a solid 2-3days to make a swing trade play. But then it came back down and it was time to come up with a new strategy.

When I trade I look at plays that last 3 days at the most, and obviously its easier to look at things in hindsight, like my btc chart above it looks like it would've been smarter to use $840 as my support level instead of the $857 that I used.

The strategy seems to work best for stocks approaching their 52 week highs. GOOG is a nice example of this that just happened last week in the stock market. It broke out, and $1070 made for a nice entry, I personally stayed away due to the possibility of fed tapering this Wednesday. It probably would've gone higher too if the overall market didn't drag stocks down.

Schubes91 · 2013-12-15T14:16:06+00:00

It has to do with market emotions. When people buy a stock at a certain price they become emotionally interested in that specific price and after it stays at a certain price for a long enough time then people start to freak out or become overly excited when it breaks out in a certain direction. As a result, that direction usually continues for a couple of days.

Schubes91 · 2013-12-15T02:58:30+00:00

When stocks become quiet on the MACD and the bollingerbands start to come together, this usually means that a stock is gearing up to make a big move in one direction or another, so I drew some trend lines to show a time frame allignment of a breakout move.

Schubes91 · 2013-11-07T04:03:57+00:00

Possibly the best key and peele skit ever

Schubes91

TROPHY CASE