Litecoin (LTC) is getting quite a bit of attention lately due to litepay and the recent hard fork there has been qquite a bit of volume about. Overall I'm quite bullish and I've entered a LTC trade which I thought I'd share.
I see two ascending triangles: One ascending triangle and a break out recently completed and took us to around $245, forming a new resistance line there; a second appears to be forming which may takes us as high as $300. However, there is a small possibly uncompleted H&S pattern that it will have to contend with beforehand, which may take us back to the $200 support level. This is a very strong support level which is backed by the EMA100 and trend line so I doubt it will be broken. Also the MACD shows signs of divergence at the recent breakout adding to the possiblity of a small down turn.
However there are more bullish than bearish signs (check out my chart) so I have entered the following trade:
Entry: $205 (205-215)
Stop Loss: $195-$200
Target 1: $234
Target 2: $259
Target 3: $299
The crypto market as a whole (including LTC) is tightly coupled with BTC so this is a risky trade that I'm in as I believe BTC has a little way to fall before recovering. Please do your own research and reach your own conclusions as I'm only sharing mine as an idea.
I see two ascending triangles: One ascending triangle and a break out recently completed and took us to around $245, forming a new resistance line there; a second appears to be forming which may takes us as high as $300. However, there is a small possibly uncompleted H&S pattern that it will have to contend with beforehand, which may take us back to the $200 support level. This is a very strong support level which is backed by the EMA100 and trend line so I doubt it will be broken. Also the MACD shows signs of divergence at the recent breakout adding to the possiblity of a small down turn.
However there are more bullish than bearish signs (check out my chart) so I have entered the following trade:
Entry: $205 (205-215)
Stop Loss: $195-$200
Target 1: $234
Target 2: $259
Target 3: $299
The crypto market as a whole (including LTC) is tightly coupled with BTC so this is a risky trade that I'm in as I believe BTC has a little way to fall before recovering. Please do your own research and reach your own conclusions as I'm only sharing mine as an idea.
Trade active
Comment:
I think BTC is going to drag us down with it. We're almost definitely headed to $200, I reckon. But upside is only a few days off at most I think.
Comment:
Scenario two has played out. However, we hit the 100 EMA with such volume it may very well break as well and fall to the lower support line of 168. Still hanging in on trade as stop loss has not been hit.
Trade closed: stop reached:
Trading closed stop loss hit. Looks like scenario 3 may play out after all. I'm going to look to setup a short trade for LTC.