I’m consistently requested why I’m so “beeping” enamored with Andrews Pitchfork. In in the present day’s Substack Weblog I’ll reply that query.
Until a technician desires to crawl down the Gann “rabbit” gap there isn’t a different technical software that merely identifies the value/time grid, or vector, in addition to Andrews Pitchfork. The weekly chart (and each day to observe) displays this prevalence. Through the nasty selloff in Ethereum (in addition to Bitcoin and others) costs held at assist provided by the Median Line (gold dotted line highlighted with yellow circle) of the Customary Pitchfork (Gold P1-P3). With out the usage of Pitchfork analyses that potential assist and value pivot degree at 3,436.40 would have by no means been identifiable. This additionally provides credence to the usage of the variant of Pitchfork that we had chosen.
It has been stated by these smarter than me, that the flush was associated to the unwinding of derivatives and over leveraged positions, and which may very effectively have been the trigger. Regardless of the case, we are going to let others ponder that and we are going to to stay to our knitting.
What we’re watching carefully is the situation of the Weekly MACD, The oscillator failed to verify the brand new value highs in November by failing to achieve a brand new excessive (purple dashed line) however we would wish to see a decrease low within the momentum oscillator for us to be absolutely involved with the technical situation of Ethereum in the long run.