"Jack's Trading Classroom: BTCUSD Moving Average Analysis"

Original trading classroom by Jack, "BTCUSD Moving Average Analysis"

In the technical analysis article "BTCUSD consolidation nearing its end, watch out for reversal risks" published by us on July 17, 2020, we mentioned that "the indicators, using EMA (Exponential Moving Average), show that the EMA15 on the daily chart is about to cross the EMA50. Combining this with a converging pattern analysis, we judge that the consolidation phase is coming to an end, and there will be a significant volatility in the coming days." Today, we will discuss the future trend based on these indicators.

Currently, we have switched the indicators to the daily chart of Bitcoin. The EMA15 is approaching the EMA50, indicating a potential crossover. If the lower triangle convergence rising support trendline we have set is broken, the EMA15 will definitely cross below the EMA50, forming a bearish arrangement. In the future, short positions will be entered as the trendline breaks or on the EMA death cross. If a crossover occurs, the downside target will be set at EMA2006878.2 on the daily chart. Conversely, long positions will be entered if the upper trendline is broken. If the trendline breaks and no crossover occurs, the bullish trend will continue upwards. Traders should wait for a breakout direction to enter the market smoothly, as entering prematurely may expose their positions to excessive risks. Traders should pay extra attention.

Resistance levels:
R1 9278.0
R2 9419.0
R3 9782.0
R4 10315.0

Support levels:
S1 9138.5
S2 8862.0
S3 8089.0
S4 7467.0
S5 6436.0

In recent days, the digital currency market has experienced significant fluctuations. We recommend that operators strictly implement risk control measures and avoid high leverage and high contract volume operations to prevent additional losses caused by volatile market conditions. This article reflects personal opinions, please consider it carefully. Cryptocurrency trading may involve risks to your capital.

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