Forex Analysis & Reviews: 28.11.2019 - Technical analysis of...

28.11.2019 09:44 AM

Technical analysis of BTC/USD for 28/11/2019:

Crypto Industry News:

The Indian government is working on the national Blockchain strategy, which will aim to expand the use of this technology in the country. As reported by the India Times, the Indian Ministry of Electronics and Information Technology (MeitY) said it recognizes the potential of Blockchain technology and the need to develop common infrastructure to address related use cases. The ministry added that it is working on a "Blockchain Framework at the national level".

The Minister of State for Human Resources Development, Communication, Electronics and IT, Sanjay Dhotre, noted, inter alia, the possibilities and potential of Blockchain in sectors such as management, banking, finance and cybersecurity.

There have been reports before that the Indian state of Tamil Nadu is working on a state-level policy regarding Blockchain technology and artificial intelligence. Tamil Nadu's Blockchain and Artificial Intelligence regulations are expected to lay down basic principles on how the government can apply new technologies to provide services and address management issues.

Earlier this year, the state of Telangana in southern India also released a project of Blockchain policy initiative that aimed to establish an ecosystem for startups and Blockchain research institutes. The initiative is particularly focused on projects aimed at developing Blockchain applications for the banking and financial sector, pharmaceuticals, logistics and solutions for governmental sectors.

Although India may be pro-Blockchain, their attitude to cryptocurrency is definitely hostile. In July, the Indian government proposed a bill entitled 'Cryptocurrency banking and regulation of official digital currencies', which aimed not only at a total ban on the use of cryptocurrencies in India, but also the introduction of a 'Digital Rupee' issued by the country's central bank, Reserve Bank of India

Technical Market Overview:

The BTC/USD pair has made another leg to the upside after the local correction had been completed with a low located at the level of $6,821. The new local high was made at the level of $7,616 which is above the key technical resistance located at the level of $7,234. Please notice, the move up is in three waves only, so it is a typical corrective wave to the upside which should be only a local correction. When the correction is completed, the market will resume the downtrend.

Weekly Pivot Points:

WR3 - $9,581

WR2 - $9,033

WR1 - $7,830

Weekly Pivot - $7,282

WS1 - $6,055

WS2 - $5,531

WS3 - $4,254

Trading Recommendations:

The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still down. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.