Perlin Is Moving | More Growth Or Fall? | Tutorial

Perlin (PERLBTC) made a move yesterday and managed to close above EMA10, which is a bullish signal... Today, a big rejection is in play as well as a big bear volume bar so we need to be careful as there can be additional fall.

A new All-Time Low (ATL) was hit recently, this will be the main support (bold red line).

Keeping it simple

• 1) If the main support is broken PERLBTC will test the lower support levels.
  
• 2) If the main support holds or isn't tested, then PERLBTC can consolidate (blue arrow) or move higher.
  

As you can see, there is no prediction here.
You can take action, buy/sell, based on what is happening rather than predicting where the price will go.

As for the chart signals

• The MACD is bearish.
  
• The RSI is weak, not strong enough.
  
• A big red volume bar just showed up. The green volume on the bounce is below average so there isn't much strength on that small jump.
  
• Bullish divergence is building up with both the MACD and RSI, but with all the bearish signals above this one isn't enough.
  

To trade, we must have a plan, what to do if prices go lower? What to do if prices go up?

Now, how you decide if a pair is good to trade before you go and find the support levels, the targets, and the stop-loss?

You use the chart signals. If the signals support the move that you are seeing then you can decide to trade or not.

I wouldn't trade Perlin (PERLBTC) right now, there are too many bearish signals and there are better-looking charts.

All the information shared here is for learning and entertainment purposes only...

THANKS A LOT FOR YOUR CONTINUED SUPPORT.

Namaste.