tekolo

Trading idea for NEO/USD LONG - Current price 42.6 USD

Long
tekolo Updated   
In the 1H chart we are waiting for Tenkan Sen crossing above the Kijun Sen, it is a bullish signal. As this type of buying signal could occur above the Kumo (cloud) we can be sure that this would be a strong bullish signal. An order should be placed once the cross has been solidified by a close.

For maximum risk management on this trade, we also could move the stop-loss up with the Kumo, keeping it just below the bottom edge. For even tighter risk management, we could move our stop-loss with the Kijun Sen, keeping it 5 to 10 pips below that line.

We can use MACD+DI as an extra confirmation method waiting for a green point.
The RSI is currently above 50. It is an indication of a bullish market.

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Buy: As explained above. ~ 45 - 46 USD
Take-profit: You are free to decide, but avoid greed. See the Elliot Waves and Fibonacci extensions provided.
Stop-loss: ~ 37.9 USD
Comment:
The buy signal is never activated, so there is no profit but no loss here. Only the possibility of a bullish scenario was invalidated.

Obviously, Elliot's wave count wasn't accurate. But when combined with a combined strategy, using Ichimoku, RSI and MACD, we never took a risk.

Now, the price is looking for support at level 0.5 (38.47 USD), which may be a good bouncing point.
Comment:
Watch how the volume immediately increased when the level 0.5 was touched (38.47 USD)! Many buyers with buy orders placed just at that level. Now we see a rebound, but we should wait to set up a new entry. I'm working on it.

Order cancelled:
Buy levels do not reached!
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