Bitcoin futures<\/h2>\n\n\n\nThe Weekly<\/em> chart of Bitcoin futures<\/h3>\n\n\n\n![\"Bitcoin](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/bitcoin-weekly-20-week-ema-bull-breakout.png\" "\\"\\"")
<\/a><\/figure>\n\n\n\nAnalysis<\/h3>\n\n\n\n\n- This weekly candlestick is a bull breakout bar that closed above the 20-week EMA. The bar gapped up on Monday and did not test the closing price of the past week, meaning that the bulls were eager to buy at the market, a sign that the bulls are in. <\/li>\n\n\n\n
- It is the first time since May 2022 that Bitcoin closed a week above the 20-week EMA. <\/li>\n\n\n\n
- The context is more likely a trading range instead of a bear trend, but if right after testing the EMA the price reaches a new low of the bear trend, the trading range market cycle will no longer be valid.<\/li>\n\n\n\n
- When the price it is considered to be within a trading range, anything below the 20-EMA is considered \u201ccheap\u201d; anything above is considered \u201cexpensive\u201d.<\/li>\n\n\n\n
- Nowadays, the price is either:\n\n\n\n\n
\n- Bull case: \n
\n- Reversing up after a lower low major trend reversal or a final flag pattern.<\/li>\n\n\n\n
- Bulls hope that this is the start of the long-awaited bull leg that will drive the price up to June 2021 low or to the prior major lower high. <\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n
\n- Bear case: \n
\n- Vacuum testing the 20 EMA before continuing the bear trend. <\/li>\n\n\n\n
- Bears know that the first reversal up will be probably minor, since there are strong open gaps along the way up.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n\n\n\n
- Since this week was a strong bull breakout bar following a breakout mode pattern (tight trading range) we should expect higher prices for the next week.<\/li>\n<\/ul>\n\n\n\n
Trading<\/h3>\n\n\n\n\n- Bulls:\n
\n- Bulls have a good buy signal bar after a final flag pattern. The probability is likely around 50% and the risk-reward ratio surpasses 1:2; Therefore, it looks good for the bulls if they place their Stop Loss below the current week’s low and take their profit around the June 2021 low.<\/li>\n<\/ul>\n<\/li>\n\n\n\n
- Bears: \n
\n- Bears might sell right at the 20 EMA, but they are coming from failing a bear flag trend continuation pattern; They know that the first reversal up will probably fail, and they might wait to sell higher, where many bulls will exit prior trapped longs. <\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n
The Daily<\/em> chart of Bitcoin futures<\/h3>\n\n\n\n![\"Bitcoin](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/bitcoin-daily-bull-breakout-in-trading-range.png\" "\\"\\"")
<\/a><\/figure>\n\n\n\nAnalysis<\/h3>\n\n\n\n\n- During the week, all bars were bull bars: the buying was relentless. <\/li>\n\n\n\n
- There is a 6-bar micro channel: traders should expect a pullback starting the next 1\u20133 days. <\/li>\n\n\n\n
- This leg is strong enough to expect another one or two legs up. Bulls are strong, they are buying at the market, they hope that this is the start of a spike and channel bull trend. <\/li>\n\n\n\n
- The price is breaking above various price levels:\n
\n- 12\/14 high.<\/li>\n\n\n\n
- Major bear trend line.<\/li>\n\n\n\n
- June 2022 close. <\/li>\n<\/ul>\n<\/li>\n\n\n\n
- On the left of the chart, there is a trading range, which represents an area of agreement. This might be just a 2-legged up move within a trading range. However, traders should expect more upside because many bears have their stop losses at the major lower high, and it is expected that this move will get there. <\/li>\n\n\n\n
- There are various bullish measured moves in play; the nearest one is at $20750, and it is based upon the size of a prior bear climax. If the price gets above that level without signs of profit taking, traders might look at a measured move based on the total distance between 11\/09 low and 12\/14 high.<\/li>\n\n\n\n
- If the price gets to the major lower high, it will technically end the bear channel. Ultimately, bulls want to get to test the 200-day simple moving average (the only moving average shown on the chart). <\/li>\n<\/ul>\n\n\n\n
Trading<\/h3>\n\n\n\n\n- Bulls:\n
\n- They think that they are in a spike and channel bull trend. After a 6-bull micro channel, they might either wait to buy a pullback, or trade small and add to their positions during a pullback: the stop loss is far away; thus, the risk is big. The chances are that the price it will get to the major lower high. <\/li>\n<\/ul>\n<\/li>\n\n\n\n
- Bears:\n
<\/a><\/figure>\n\n\n\nAnalysis<\/h3>\n\n\n\n\n- This weekly candlestick is a bull breakout bar that closed above the 20-week EMA. The bar gapped up on Monday and did not test the closing price of the past week, meaning that the bulls were eager to buy at the market, a sign that the bulls are in. <\/li>\n\n\n\n
- It is the first time since May 2022 that Bitcoin closed a week above the 20-week EMA. <\/li>\n\n\n\n
- The context is more likely a trading range instead of a bear trend, but if right after testing the EMA the price reaches a new low of the bear trend, the trading range market cycle will no longer be valid.<\/li>\n\n\n\n
- When the price it is considered to be within a trading range, anything below the 20-EMA is considered \u201ccheap\u201d; anything above is considered \u201cexpensive\u201d.<\/li>\n\n\n\n
- Nowadays, the price is either:\n\n\n\n\n
\n- Bull case: \n
\n- Reversing up after a lower low major trend reversal or a final flag pattern.<\/li>\n\n\n\n
- Bulls hope that this is the start of the long-awaited bull leg that will drive the price up to June 2021 low or to the prior major lower high. <\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n
\n- Bear case: \n
\n- Vacuum testing the 20 EMA before continuing the bear trend. <\/li>\n\n\n\n
- Bears know that the first reversal up will be probably minor, since there are strong open gaps along the way up.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n\n\n\n
- Since this week was a strong bull breakout bar following a breakout mode pattern (tight trading range) we should expect higher prices for the next week.<\/li>\n<\/ul>\n\n\n\n
Trading<\/h3>\n\n\n\n\n- Bulls:\n
\n- Bulls have a good buy signal bar after a final flag pattern. The probability is likely around 50% and the risk-reward ratio surpasses 1:2; Therefore, it looks good for the bulls if they place their Stop Loss below the current week’s low and take their profit around the June 2021 low.<\/li>\n<\/ul>\n<\/li>\n\n\n\n
- Bears: \n
\n- Bears might sell right at the 20 EMA, but they are coming from failing a bear flag trend continuation pattern; They know that the first reversal up will probably fail, and they might wait to sell higher, where many bulls will exit prior trapped longs. <\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n
The Daily<\/em> chart of Bitcoin futures<\/h3>\n\n\n\n<\/a><\/figure>\n\n\n\nAnalysis<\/h3>\n\n\n\n\n- During the week, all bars were bull bars: the buying was relentless. <\/li>\n\n\n\n
- There is a 6-bar micro channel: traders should expect a pullback starting the next 1\u20133 days. <\/li>\n\n\n\n
- This leg is strong enough to expect another one or two legs up. Bulls are strong, they are buying at the market, they hope that this is the start of a spike and channel bull trend. <\/li>\n\n\n\n
- The price is breaking above various price levels:\n
\n- 12\/14 high.<\/li>\n\n\n\n
- Major bear trend line.<\/li>\n\n\n\n
- June 2022 close. <\/li>\n<\/ul>\n<\/li>\n\n\n\n
- On the left of the chart, there is a trading range, which represents an area of agreement. This might be just a 2-legged up move within a trading range. However, traders should expect more upside because many bears have their stop losses at the major lower high, and it is expected that this move will get there. <\/li>\n\n\n\n
- There are various bullish measured moves in play; the nearest one is at $20750, and it is based upon the size of a prior bear climax. If the price gets above that level without signs of profit taking, traders might look at a measured move based on the total distance between 11\/09 low and 12\/14 high.<\/li>\n\n\n\n
- If the price gets to the major lower high, it will technically end the bear channel. Ultimately, bulls want to get to test the 200-day simple moving average (the only moving average shown on the chart). <\/li>\n<\/ul>\n\n\n\n
Trading<\/h3>\n\n\n\n\n- Bulls:\n
\n- They think that they are in a spike and channel bull trend. After a 6-bull micro channel, they might either wait to buy a pullback, or trade small and add to their positions during a pullback: the stop loss is far away; thus, the risk is big. The chances are that the price it will get to the major lower high. <\/li>\n<\/ul>\n<\/li>\n\n\n\n
- Bears:\n
- \n
- Bull case: \n
- \n
- Reversing up after a lower low major trend reversal or a final flag pattern.<\/li>\n\n\n\n
- Bulls hope that this is the start of the long-awaited bull leg that will drive the price up to June 2021 low or to the prior major lower high. <\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n
- \n
- Bear case: \n
- \n
- Vacuum testing the 20 EMA before continuing the bear trend. <\/li>\n\n\n\n
- Bears know that the first reversal up will be probably minor, since there are strong open gaps along the way up.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n\n\n\n
- Since this week was a strong bull breakout bar following a breakout mode pattern (tight trading range) we should expect higher prices for the next week.<\/li>\n<\/ul>\n\n\n\n
Trading<\/h3>\n\n\n\n
- \n
- Bulls:\n
- \n
- Bulls have a good buy signal bar after a final flag pattern. The probability is likely around 50% and the risk-reward ratio surpasses 1:2; Therefore, it looks good for the bulls if they place their Stop Loss below the current week’s low and take their profit around the June 2021 low.<\/li>\n<\/ul>\n<\/li>\n\n\n\n
- Bears: \n
- \n
- Bears might sell right at the 20 EMA, but they are coming from failing a bear flag trend continuation pattern; They know that the first reversal up will probably fail, and they might wait to sell higher, where many bulls will exit prior trapped longs. <\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n
The Daily<\/em> chart of Bitcoin futures<\/h3>\n\n\n\n
<\/a><\/figure>\n\n\n\nAnalysis<\/h3>\n\n\n\n
- \n
- During the week, all bars were bull bars: the buying was relentless. <\/li>\n\n\n\n
- There is a 6-bar micro channel: traders should expect a pullback starting the next 1\u20133 days. <\/li>\n\n\n\n
- This leg is strong enough to expect another one or two legs up. Bulls are strong, they are buying at the market, they hope that this is the start of a spike and channel bull trend. <\/li>\n\n\n\n
- The price is breaking above various price levels:\n
- \n
- 12\/14 high.<\/li>\n\n\n\n
- Major bear trend line.<\/li>\n\n\n\n
- June 2022 close. <\/li>\n<\/ul>\n<\/li>\n\n\n\n
- On the left of the chart, there is a trading range, which represents an area of agreement. This might be just a 2-legged up move within a trading range. However, traders should expect more upside because many bears have their stop losses at the major lower high, and it is expected that this move will get there. <\/li>\n\n\n\n
- There are various bullish measured moves in play; the nearest one is at $20750, and it is based upon the size of a prior bear climax. If the price gets above that level without signs of profit taking, traders might look at a measured move based on the total distance between 11\/09 low and 12\/14 high.<\/li>\n\n\n\n
- If the price gets to the major lower high, it will technically end the bear channel. Ultimately, bulls want to get to test the 200-day simple moving average (the only moving average shown on the chart). <\/li>\n<\/ul>\n\n\n\n
Trading<\/h3>\n\n\n\n
- \n
- Bulls:\n
- \n
- They think that they are in a spike and channel bull trend. After a 6-bull micro channel, they might either wait to buy a pullback, or trade small and add to their positions during a pullback: the stop loss is far away; thus, the risk is big. The chances are that the price it will get to the major lower high. <\/li>\n<\/ul>\n<\/li>\n\n\n\n
- Bears:\n
- Bulls:\n
- Bears might sell right at the 20 EMA, but they are coming from failing a bear flag trend continuation pattern; They know that the first reversal up will probably fail, and they might wait to sell higher, where many bulls will exit prior trapped longs. <\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n
- Bulls:\n
- Bear case: \n