If you haven’t seen our series of chat analysis updates, you’ll soon be able to catch up to speed with a new edited video series. We’ll announce it inside the Wirex app soon.
Take this chart for example:
In just a few video sessions, this chart starts to make a lot of sense for the eager beaver, keen as a bean, crypto opportunist.
The chart becomes a form of poetic dance.
You never know exactly which way she’ll spin. It would be boring if you did. Success with charts comes from conquering the overall longer-term trends… seeing the uniformity in the dance… the patterns that point to potential profit.
That chart above shows a very typical market structure. This is advanced stuff. It applies to any coin like bitcoin and litecoin, but this chart happens to be populous on the 4 hour time-frame.
The transluscent orange box shows the bounds of a trading range.
The market tested the high of that box several times and dropped. It has just tested the low of that box and rebounded inside.
What’s more, the current candle has popped back above the thick green cloud, and the bottom of the chart shows strong volume, and upwards pointing MACD.
Chances are strong that populous is now going up.
We’ll only know for sure when it does. That is, when it breaks above the previous resistance level (the upper edge of the orange box).
See, it’s all about patterns and probabilities.
If you’re new to charting, just from this post you already start to sense the order within the chaos. Subscribe to the Wirex updates and you’ll be first to receive our edited version of the chart analysis series. It’s free. It’s not ‘trading or investment advice’ of course. Just educational content that may help you make better decisions than the roller coaster of panic buying when prices reach high points and then panic selling when prices reach low points… like most people do.
There are a handful of key principles, that mixed with some discipline, and plenty of patience, can help you navigate the choppy seas of the crypto market over the coming few years as the crypto mega-trend reaches mass market adoption and the global economic structure moves over to the blockchain.