Zongheng Freely: The market is in a short-term fluctuation, how to choose the new trend?

CN
12 hours ago

Life may not necessarily have enough wealth, but it has countless cares; it may not necessarily have the highest status, but it has many smiling faces for you; it may not necessarily have the power to control everything, but there are people willing to give for you, to care for you, stemming from heartfelt concern at all times. Life needs to be moved!

It’s another familiar weekend with no fluctuations in the market. This week, due to some matters, I only updated an article on Monday. However, the overall market trend we anticipated is still quite accurate. Starting from holding short positions around 108200, the market first made a downward move, reaching a low of around 105100. We shorted and then adjusted to the expected target of 106500 before positioning for a long. After subsequent replenishment, the market rose as expected, reaching a high of around 110500. In our analysis, we also indicated that once the market surged, there would be a pullback above 110000. The final result can be seen, with a drop from the high to a low of around 107200, and the trend basically aligns with our judgment of the market's movement. Currently, it’s the weekend, and the market is relatively quiet, maintaining a fluctuation around 108000, and we still need to wait for a new trend.

Returning to the market, from the perspective of liquidity clearing intensity, during the fluctuations, the short-term accumulated long and short liquidity strengths are not significantly different. The short-term long liquidity is mainly around 107000, while the short liquidity above is located around 109200. This constitutes the main operational area of the current market. When the market chooses to clear liquidity in that direction, it will likely trigger a chain reaction of further liquidations. Additionally, combining the news situation, when the market surged above 110000, it was precisely due to the panic caused by the uncertainty of new tariff issues, leading to another market pullback. Currently, the 12 trade letters signed by the old president, detailing the specific tariff results, have not yet been announced, likely waiting until Monday. This aligns with the current weekend market changes, so in this ongoing fluctuation, it is quite normal for long and short liquidity to be in a relatively balanced state, as the market awaits a final result. In such a situation where external strong intervention forces are unclear, it is still very difficult to make decisions. Therefore, it is recommended to judge based on known objective information: look for a bullish bias above 107000 and turn bearish below 107000.

From a technical perspective, there is not much to observe. The daily chart is almost in a relatively high-level fluctuation. It is important to note that the coin price is once again near the MA7 daily line. The market from Sunday evening to early Monday will be crucial. If the K-line closes below the MA7 daily line, it will bring about a short-term weak market. The influence of news at this juncture becomes even more significant. In terms of technical indicators, the MACD is actually quite weak in the bullish area. As we mentioned earlier, with such weak volume, it is easy to see a reversal, leading to the MACD forming a dead cross and entering a bearish cycle. Other indicators are currently flat, waiting for a directional choice.

On the four-hour chart, the recent K-line cycles have almost flattened out, and the structural trend is running in a weak bearish cycle. The previous rapid pullback caused the MACD to enter a bearish cycle, and the market has not truly broken out of a trend over the weekend, making it difficult to judge the short-term trend.

Overall, the primary focus should still be on the final results of the news. In terms of operations, let’s consider a few aspects. If we move upward, we will wait to clear the short-term short liquidity strength around 109200 before going short. If it directly moves downward and breaks below 107000, we can wait for a small rebound to chase the short. As for going long, it should be based on real-time market conditions.

【The above analysis and strategies are for reference only. Please bear the risks yourself. The article is subject to review and publication, and real-time market changes may lead to information lag, so specific operations should be based on real-time strategies. Feel free to contact and discuss the market.】

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