Morning Market Breakdown | Trapped? Let’s Talk: Watching for BTC’s Second Buy, ETH’s Center Breakdown, and How to Handle a Third Sell in the Broader Market
October 16 morning market breakdown. The theme, in two words: trapped. What should you do once you’re caught in a losing position? Hua Jie Cycle uses Chan theory structures to break down today’s market.
Key points:
1. Bitcoin: Consolidating around 82,300. It has fallen steadily from 87,000 on the daily chart. Overall, this is a correction of one daily swing. The trend is on the 30-minute chart; with the triangle convergence, downgrade your analysis to the 5-minute chart.
2. Ethereum: 2,442, clearly weaker than BTC. After the 30-minute center broke down, the trend weakened. Since the center couldn’t hold, the rebound is merely repairing the structure.
3. SEI: Rising volume on the monthly chart; expectations for a daily second buy point.
4. Shanghai Composite: 3,707 (-1.59%). On the 30-minute chart, we discuss which direction the market may choose after a third sell point. My view on the ChiNext and STAR 50: they probably won’t make new highs.
Being trapped isn’t scary; what’s scary is not knowing which timeframe you’re trapped on. Identify the timeframe first, then find the structure, and finally wait for a signal—inverting that order will only leave you more deeply trapped as you keep adding to your position.
For learning technical analysis methods and sharing personal views only; this is not investment advice.
Signals may fail, and past examples are not indicative of future performance.
Which timeframe are you trapped on right now? Share in the comments. Follow Hua Jie Cycle for a daily breakdown of the morning market structure.
Source: @Cycle_King1913 on X
October 16 morning market breakdown. The theme, in two words: trapped. What should you do once you’re caught in a losing position? Hua Jie Cycle uses Chan theory structures to break down today’s market.
Key points:
1. Bitcoin: Consolidating around 82,300. It has fallen steadily from 87,000 on the daily chart. Overall, this is a correction of one daily swing. The trend is on the 30-minute chart; with the triangle convergence, downgrade your analysis to the 5-minute chart.
2. Ethereum: 2,442, clearly weaker than BTC. After the 30-minute center broke down, the trend weakened. Since the center couldn’t hold, the rebound is merely repairing the structure.
3. SEI: Rising volume on the monthly chart; expectations for a daily second buy point.
4. Shanghai Composite: 3,707 (-1.59%). On the 30-minute chart, we discuss which direction the market may choose after a third sell point. My view on the ChiNext and STAR 50: they probably won’t make new highs.
Being trapped isn’t scary; what’s scary is not knowing which timeframe you’re trapped on. Identify the timeframe first, then find the structure, and finally wait for a signal—inverting that order will only leave you more deeply trapped as you keep adding to your position.
For learning technical analysis methods and sharing personal views only; this is not investment advice.
Signals may fail, and past examples are not indicative of future performance.
Which timeframe are you trapped on right now? Share in the comments. Follow Hua Jie Cycle for a daily breakdown of the morning market structure.
Source: @Cycle_King1913 on X