price is floating up on light volume, and even small sales are enough for it to get hammered back down. No doubt about it, this is a fake rally designed to let people sell high. Bail while you can! Full disclosure, I'm short from $106.5
Yes and we have the makings of a 3rd straight day of higher prices on progressively lower volume. This happened last week on the 9-11 (no pun) and we wen't down afterwards. It is a tell tale downward formation (if it holds)...
+1
[On Bitstamp prices...]
It's looking like a triple top - three failed attempts to get over the 108 bar, with retraces back to 102 each time. I doubt we will see a forth.
However... the last retrace only touched 102, with a sharp bounce back. This starts looking a bit like a rising triangle, which is bullish. From this perspective, getting over 108 is a smaller leap.
There is a good deal of resistance over 108 though, which would need a lot of buying power to punch through. Therefore, I'm about 85% bearish for the trend for the next few days. I have orders in around 101 and 91 to catch the retrace back to the 18th or profit from another 10% fall beyond this.
P.S. I bought at 99 and sold at 107 since the 18th. I missed the first spike (sell price too high - by 0.5 BTC annoyingly!) and then just missed last night's dip (buy was at 101, and only 102 was reached). You can't win them all though!
Well, that worked out well!
It all panned out as expected, with both my 101 and 91 buys coming in last night. The latter was a pleasant surprise.
After looking at the state of the Bitstamp order book, I just sold all for 102, taking a decent profit.
I'm not certain where my next buy in point will be, but I'm thinking somewhere between 85 and 95. I have some thinking to do first though.
