Closing wedge

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Here’s a 1 month log chart of bitcoins versus US$, should be pretty self explanatory I think. I’ve drawn in the same trend line as in my last post which already looks like a good line of support. Also shown in red the horizontal line of resistance. (Interesting how resistance always appears horizontal). This has formed a wedge which looks like it will be resolved any time in the next 24 hours, perhaps its breaking out right now..

For comparison I’ve also highlighted the previous rising wedge pattern which broke upwards only a few days ago. I’m confident we’ll break up again this time. (Although of course that doesn’t mean we actually will)

In a fainter grey line I’ve tentatively had a guess where the top of a channel might lie, although that is still untested. Perhaps we’ll never get to test that. If that is the top of the channel and the price gets to the top of that channel it looks like it will be pushing $1000! I’m just guessing that number as the scale doesn’t go that far. But remember its a log chart.

Edit: Looking again at that log price scale. Where is the top of that channel? Maybe $1000 bit too much, $300 ? Will have to try and figure it out later, have to head out for the day.

 

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