Chart Readers

[Markish]

I'm new to bitcoin, saw the pump & dump in late 2013, seeing the pump again and just coming from someone who has experience trading stocks and looking at candle charts to determine entry points, areas of resistance/support, ranges, bullish/bearish patterns ect...how important is charting work when talking about buying bitcoin? Not really looking to trade bitcoin, but would like to hold on to some for the hell of it for next couple years and would like good entry points. Thanks.

[vuduchyld]

You'll get a wide range of responses on this question, I'd predict.

Couple of things I'd point out:

--For most people, I'd say that charting is far MORE important for bitcoin than for, say, US equities.  Why?  Because the underlying fundamental value is MUCH harder to determine.  You can't look at, say, earnings over the last few years and calculate P/E or PEG ratios.  You can't examine the 10K's and figure out price-to-book for industry peers and come up with a value line. 
--Market sentiment appears to drive price, and people use technical analysis and charting to determine where that sentiment is heading.
--In my experience, bitcoin tends to overshoot traditional charting stops.  Again, without the underlying obvious fundamentals, price is more subject to swings.  Low market cap also makes it susceptible to overshooting. 

[BitcoinNewsMagazine]

I'm new to bitcoin, saw the pump & dump in late 2013, seeing the pump again and just coming from someone who has experience trading stocks and looking at candle charts to determine entry points, areas of resistance/support, ranges, bullish/bearish patterns ect...how important is charting work when talking about buying bitcoin? Not really looking to trade bitcoin, but would like to hold on to some for the hell of it for next couple years and would like good entry points. Thanks.

Bitcoin traders often respect Fibonacci levels. Take a look at the daily chart from Aug 24 low to Nov 3 high:



Buying in the zone from 38.2 to 50% retracement would be considered a moderate risk. Buying below 50% retracement would be lower risk but price may not reach that low a level.

[mrbrt]

would like good entry points. Thanks.

Anything below $10k 

I'm kind of serious

[mr angry]

There are two threads started by chart readers where people discuss charts and technical analysis. The first link is to a thread that's been running or a long time, but sadly the guy who started it decided to stop posting the other day. Others are still carrying on the discussion though.

https://bitcointalk.org/index.php?topic=274613.0

The second link is to a similar thread started by another chart reader, but he's still posting in it.

https://bitcointalk.org/index.php?topic=812637.0

[slap]

^^ all due respect, dont forget Klee's thread, a whole different approach

[mr angry]

^^ all due respect, dont forget Klee's thread, a whole different approach

And there was another traditional TA thread called "Ryans' log" which was started by RyNinDaCleM. Unfortunately he locked it last April, but it's well worth a read for a chart guy new to Bitcoin, and he's still active in the other TA threads. RyNinDaCleM was involved in Bitcoin in the early days.

https://bitcointalk.org/index.php?topic=672187.0

[zimmah]

I'm new to bitcoin, saw the pump & dump in late 2013, seeing the pump again and just coming from someone who has experience trading stocks and looking at candle charts to determine entry points, areas of resistance/support, ranges, bullish/bearish patterns ect...how important is charting work when talking about buying bitcoin? Not really looking to trade bitcoin, but would like to hold on to some for the hell of it for next couple years and would like good entry points. Thanks.

Any price is a good price if you plan to hold for a year or more