This is to inform our subscribers that we have opted to close out 1/2 the position we added at $5100 at these levels.
Sell to close 1/4 Bitcoin at 6328
This still leaves us with our original inventory, the position we added at 3550, and 1/2 the position we added at 5100 reducing our average cost. In discussing the current situation, as Marc and I do twice a day, the fact the alt-coin market has not participated in the rally, implies potential risk is to the downside. There is also some changes from a technical standpoint as well.
This email has only gone out to our premium and expert subscribers, but since we did announce the trade on our podcast we feel an obligation to inform all of our followers of the change so the article is available to all subscribers.
The 6400 level was rejected after a 6 days of moving higher. The formation of a pinbar would signal a bearish reversal in an area where a pullback is elevated. As you can see the 12 hour bars up to this point have all closed very strong, and this is the first candle that is showing the initial signs of forming a bearish reversal pattern.
We will be looking to re-enter in the 4900 to 5400 area, and we will likely add an additional 1/4 Bitcoin as well.
Had this candle closed strong we would have waited for the next candle to form, but if a pinbar does form, the selloff can come swiftly. Closing out 1/4 of our position provides an opportunity to lock in some profits, yet if the market does decide to move higher we still have some exposure.
In all markets you have to adapt to the current conditions of the market. It is not our intent to time perfectly the top or bottom, but to buy into weakness and sell into strength, WHEN there is evidence that the market is turning.This is a Free Member article. To receive email notifications when new articles are available, click here.