(02/08/22) Bitcoin’s Back, Indices Breakout

Bitcoin (BTC) is back in traders’ minds, as its narrow range on technical (moving average) supports should lead to big price moves; S&P Futures’ narrow range also supports breakouts, writes Trevor Smith of Trevor's Trading.

Narrow ranges in Bitcoin contribute to its return to news venues and traders’ plans. My opinion continues to be bullish, although I’ve been wrong about this so far. S&P futures are also showing bullish technical conditions and candlestick patterns in the short term, but the monthly chart is so bearish that traders may want to trade small lots and/or wait until investors and position traders buy forthcoming buying opportunities in dip-buying of lows.

My last article, 2022’s Coming Wide Ranges: Bitcoin, Indices (moneyshow.com) , stated essentially the same thing as this article In a sense that Bitcoin and S&P futures are the main story- I was bearish and correct about S&P futures’ directional tendencies but am more bullish on the short term on indices this weekend because of candlestick patterns.

Teucrium Commodity Trust Corn ETF (CORN) highlighted in recent articles has printed new recent highs while Service Corp International (SCI), the funeral home corporation pulled back to technical supports *moving averages), so option traders bullish on Spring corn pricing may exit winning trades, while March funeral bulls may scale into long positions at prices near here due to call-put volume ratios, but I have no idea if a brief, transient call-volume bump and moving average supports are enough reasons to enter a trade! My space weather dates for bearish sentiment were the dates that the downmove started and may end neat the month’s turn. As of January 15, 2022.8 of 10 projected ranges printed.

Next Two Week’s Predicted Ranges (Written January 30, 2022)

E-mini S&P 500 (ES=F ) High Range 4531-4485; Low Range 4350-4312

Bullish then bearish range with 4154 target as the most frequent answer I get; price has breached the monthly, quarterly pivots in weak form. Opinion unchanged: Q1-2 offer deeper pullback dip-buying opportunities. Space weather and non-terrestrial event dates for potential bearish sentiment are January 31, February 4, 18 Yearly Pivot 4404.

Bitcoin (BTC)

High Range 41665-40052; Low Range 35240-32691

Neutral-Bullish ranges in a Bearish monthly chart; 20-month moving average supports bounces

Euro FX

High Range 1.133-1.126; Low Range 1.106-1.103

Neutral-bullish ranges; 1.164 yearly pivot pulls from overhead.

Gold

High Range $1820-$1805; Low Range $1774-1765

Neutral-bullish ranges. Breakout setup. Quarterly chart is bearish, but shorter time frames are bullish

Crude Oil

High Range $89.50-88.25; Low Range $84.60-82.15

Neutral ranges. Yearly pivot: $40.19; $54-$46 Fibonacci 50% level that quickly recovers is possible.

Prior Predicted Ranges (Written January 14 for January 15-January 31, 2022)

E-mini S&P 500 High Range 4725-4695; Low Range 4628-4587

Bearish range; price has breached the monthly, quarterly pivots in weak form. Opinion unchanged: Q1-2 offer deeper pullback dip-buying opportunities. Space weather and non-terrestrial event dates for potential bearish sentiment are January 18, 20, &28. Yearly Pivot 4404

Actual: 4671-4212

Bitcoin

High Range 47334-44700; Low Range 42300-41988

Neutral-Bullish ranges in a Bearish monthly chart; price has breached the yearly pivot in weak form. 62987, the quarterly pivot may pull from above as a bounce target.

Actual: 43545-32885

Euro FX

High Range 1.149-1.145; Low Range 1.140-1.136

Neutral ranges; 1.164 yearly pivot pulls from overhead.

Actual: 1.149-1.113

Gold

High Range $1845-$1830; Low Range $1804-1786

Neutral-bullish ranges. Breakout setup. Quarterly chart is bearish, but shorter time frames are bullish

Actual: 1854-1780

Crude Oil

High Range $85.30-84.01; Low Range $80.60-78.15

Neutral-bearish ranges. Yearly pivot: $40.19; $54-$46 Fibonacci 50% level that quickly recovers is possible.