BTC Long Setup $100K
2024-12-05

A 1D candle close through the 1D level = bullish trend continuation guaranteed.

But a 1D candle close through the level doesn't mean that price is not 'allowed' to get back and close below this level (only for BTC, altcoins I don't know: Doge would argue otherwise for example). It is allowed to and the reason why this should be kept in mind is because there is a clean level created (blue circle). 

But the presence of a clean level doesn't necessarily mean that the level will get hit. It will depend on how LTF PA develops at the high which we will get into below.

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If price hits the current highest high, making a new HH, then the LTF lowest low which created this new HH will be the new HL and if price gets below this HL then there's a chance price will hit the clean level. 

If price doesn't hit the current highest high but goes down instead, then the clean level likely won't be hit.

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But... we want the trade, what will be the trade?

I'm hesistant of the right SL: what's that consolidation inbetween before pump all about? Could price get below this or not? If not, then the right SL is the low of this consolidation.

If price doesn't make a new HH I think price shouldn't get below this consolidation because there's inefficiency above it (which is strong and will likely hold when price comes down to it without SFP/MSB at highs).

So the SL is the low of this consolidation. 

And the entry will be the downcandle after inefficiency.

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If price doesn't go down further and makes a HH instead I don't really know what to do. I then have to see how price develops again. 