Bitcoin cash is the world largest digital asset ranked at 4th position as per coinmarketcap data.
This digital asset is one of my favorite crytpocurrencies that gives us trading opportunities on daily basis.
From December 28th to 18th February 2020 this cryptocurrency this cryptocurrency was being traded above the exponential moving average 21 but at this time this coin is being traded below the EMA 21 but likely to cross up this exponential moving average soon we have a second green candlestick with heiken Ashi setup having spikes beyond 21 exponential moving average.
The Formation Of Harmonic Pattern:
This time on 12 hour chart the Bitcoin cash with Bitcoin pair has formed a bullish shark pattern and entered in the potential reversal zone of this pattern.
Let's dig this pattern deeper to examine how perfect this bullish Shark harmonic pattern is formed.
The initial leg was started on 31st of January and completed on 7th of February 2020 then the price action has been retraced between 0.382 to 0.618 Fibonacci levels and that is as required for a perfect bullish Shark pattern’s A to B leg and after the completion of A to B leg the priceline is projected between 1.13 up to 1.618 Fibonacci projection of A to B leg and completed the B to C leg of this bullish Shark pattern. Then finally the C to D leg is retraced between 0.886 to 1.13 Fibonacci level and at this time the price action is floating in the potential reversal zone of this bullish pattern and ready to move up at any time.
The Buying And Sell Targets:
The buying and sell targets according to harmonic BAT pattern should be:
Buy between: 0.040225 to 0.038417 sats
Sell between: 0.042242 to 0.046270 sats
Stop Loss:
The potential reversal zone of this pattern can be used as stop loss in case of complete price action closes below this level.
This is short term trading idea not a long term idea; I will be keep posting more trading ideas as soon as I will find more.
I have shared the tradingveiw link above where you can find the complete chart.