RE: BCHUSD - Technical Analysis November 12, 2017 - Current Price $1700

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BCHUSD - Technical Analysis November 12, 2017 - Current Price $1700

in crypto •  7 years ago 

I'm using RSI, MACD, EMA's as well as my more bread and butter price action with corresponding volume moves as my main trading setup.

I'm not saying it doesn't work but it doesn't seem to respect the TA's as well as the other securities did. At least from my novice experience so far. For example, large volume movements, price would normally respect these support and resistances but with the cryptos they seem to move right past without even the hint of volume behind them. Have you noticed a difference?
And perhaps maybe it's just because of the last 48 wacky hours that things are not necessarily correlating as well with TA's but rather news and unpredictable forces?

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In some cases yes, extreme volatility ignores gravity -- when they ignore gravity wait for topping and bottoming -- use RSI - but for sure, sometimes they defy chart logic - this is because we have limited supply and a lot of investors and traders who are novice and may or may not understand risk - BCH is perfect example, went parabolic, from 1200 to 2700 late last night in just a few hours - no person in their right mind would chase that. Those that did are bag holders.

Agreed. I was watching that and just thinking, when is this thing gonna come crashing down? I kept wanting to go short but was amazed at the momentum and even cynicism of those buying!!!