Bitcoin Price Report for December 9, 2016
Dec 9, 2016 --- (ARCHIVED) Free Reports
Market Commentary (BTC):
Is bitcoin preparing for yet another bout of weekend volatility? Considering how well price has held up during futures settlements over the past 6 hours, we think the odds of a breakout above 780 $ resistance over the next few days continue to increase. If this rally does indeed materialize, then the market should experience a bit of FOMO as traders try to play the move.
We would not be at all surprised to see [members-only text] at some point over the next 3 - 5 days, although we are still wary as to the sustainability of this first venture back up into the [members-only text] region. We think a spike breakout up into the middle of the daily OTE short zone shown below is a good possibility in the not too distant future, although we also think a retest of the 780 $ breakout point will be in order at some point following that move.
Speaking of the daily chart, let's take a closer look at it for some clarity on the short to medium term forecast as we head into what could be a chaotic weekend. First, notice that price continues to struggle with resistance in the form of the bottom of the previously mentioned OTE short zone, as well as the top of the upper supply area. We can also see that the market is forming yet another ascending triangle, albeit a rather unorthodox one, while SCMR continues to paint [members-only text] on still developing dynamic support between [members-only text]. Additionally, market structure and price action continue to come in bullish while all relevant EMA's and SMA's remain supportive of the uptrend.
Moving on to momentum, the picture now is really not all that different than it has been for the past few months. Willy remains pinned near officially overbought territory, RSI and the Stochastic both continue to [members-only text], MACD has just poked its head above the zeroline, and PPO remains neutral despite the recent strength. Seeing as though the A/D line and trading volumes are still to confirming the bull market, we continue to interpret the steadily overbought momentum indications as a sign of market strength rather than of exhaustion. Given this backdrop, we think it will be difficult to keep the bulls from moving price higher.
All things considered, we do not see any compelling reasons to alter our current bullish bias on all timeframes. The bears have had plenty of time and opportunity over the past few weeks to take price back down at least into near term support in the [members-only text] range, but could not even manage that despite profit taking from bulls. While we cannot rule out a spike back down into our still intact VST ProTrade buy zone, which we would certainly take advantage of if given the opportunity, we think the odds of a pullback continue to diminish with each passing moment that price remains above 770 $.
If things continue as they are for another 24 - 48 hours, we think it will be exceedingly difficult for sellers to keep price from moving substantially above [members-only text] over the near term. This could be quite an exciting weekend, but even if not it will likely set the stage for an explosive move over the next week or two.
Posted ProTrade Ideas:
1.) **Bitcoin ProTrade - Very Short Term [UPDATED on 12/9/2016]**: (a) We will consider a [members-only text] position in the [members-only text] area with a stop around [members-only text] and a target of [members-only text].
b.) **[UPDATED on 12/9/2016]**: We will consider a [members-only text] position in the [members-only text] area with a stop around [members-only text] and a target of [members-only text].
2.) **Bitcoin ProTrade - Short Term [UPDATED on 12/8/2016]**: We will consider a [members-only text] position in the [members-only text] area with a stop around [members-only text] and a target of [members-only text].
3.) **Bitcoin ProTrade - Medium Term [ACTIVE; UPDATED on 12/5/2016]**: We will stay [members-only text] off of the [members-only text] level with a stop around [members-only text] and a target of [members-only text]. We will add to the position on a pullback to the a [members-only text] area.
4.) **Bitcoin ProTrade - Long Term [ACTIVE; UPDATED on 12/5/2016]**: We will stay [members-only text] off of the [members-only text] level with a stop around [members-only text] and a target of [members-only text]. We will add to the position in the [members-only text] area.
**Premium members get to see live trades complete forecasts, and full charts everyday.
To get your access to our edge, subscribe today.**
