So what we have here is a daily chart clearly showing that the long term trend is still up, but we are waiting for Momentum to turn before we see a further move. This is a simple chart and it works. I have been in since $300 a coin a couple of years ago. So let's delineate what we are looking at here.
The blue line near the candles is the 50 day moving average (simple). This shows the trend is still up and has not changed as it is trending upwards. It does seem to be accelerating so we are keeping an eye on it, but as long as the angle is up, we are good. Occasionally you'll see that the candles have dipped below the 50 MA, and you'll also notice that on July 17, not only did the candles dip below the 50 MA, but stochastic showed a turning point upward was to be expected. In addition, on July 17th, Momentum, as seen by the MACD Histogram began to move upward strongly.
That leaves us with today's daily candle chart. What you have is a small retracement in an upward trend (Candles coming down while 50 MA is clearly up.) In addition the stochastic, while oversold has not quite indicated that the cycle is fully complete. It is ready to turn, but we must wait for Momentum to resume upwards as well for a strong move. (MACD). We are more interested in the bars of the MACD than the red and blue lines. We need to see those bars begin to reverse and then move above the zero line and upwards to see some real moves.
Since I use the stochastic strictly for timing an entry, you could say an entry point will be given once it moves upward, but it won't be strong unless Momentum confirms (MACD Bars reverse.)
What we are probably looking at is further consolidation at this point with the candles moving within a small range until both stochastic and MACD confirm a move upward with some strength.
The bottom line here is that we will see higher prices as long as the 50 MA continues to slope upwards. We are still very SAFE here for the longer term as long as that remain intact. If I was impatient I would enter here and wait. Or you could wait for full confirmation which is the safer bet.
I expect a breakout to reach between $5000-$6500 by year end. Since I don't have the Pro Trading View account, I can only add 3 of my 5 indicators. The other two would be Fib retracements for support (of which the 50 MA is also one) and a weekly chart which would confirm a fractal to the upside.
We are good here guys. No need to panic. We are still in a very sweet trade and must just be patient as things play out.
The blue line near the candles is the 50 day moving average (simple). This shows the trend is still up and has not changed as it is trending upwards. It does seem to be accelerating so we are keeping an eye on it, but as long as the angle is up, we are good. Occasionally you'll see that the candles have dipped below the 50 MA, and you'll also notice that on July 17, not only did the candles dip below the 50 MA, but stochastic showed a turning point upward was to be expected. In addition, on July 17th, Momentum, as seen by the MACD Histogram began to move upward strongly.
That leaves us with today's daily candle chart. What you have is a small retracement in an upward trend (Candles coming down while 50 MA is clearly up.) In addition the stochastic, while oversold has not quite indicated that the cycle is fully complete. It is ready to turn, but we must wait for Momentum to resume upwards as well for a strong move. (MACD). We are more interested in the bars of the MACD than the red and blue lines. We need to see those bars begin to reverse and then move above the zero line and upwards to see some real moves.
Since I use the stochastic strictly for timing an entry, you could say an entry point will be given once it moves upward, but it won't be strong unless Momentum confirms (MACD Bars reverse.)
What we are probably looking at is further consolidation at this point with the candles moving within a small range until both stochastic and MACD confirm a move upward with some strength.
The bottom line here is that we will see higher prices as long as the 50 MA continues to slope upwards. We are still very SAFE here for the longer term as long as that remain intact. If I was impatient I would enter here and wait. Or you could wait for full confirmation which is the safer bet.
I expect a breakout to reach between $5000-$6500 by year end. Since I don't have the Pro Trading View account, I can only add 3 of my 5 indicators. The other two would be Fib retracements for support (of which the 50 MA is also one) and a weekly chart which would confirm a fractal to the upside.
We are good here guys. No need to panic. We are still in a very sweet trade and must just be patient as things play out.