CTSI/USDT Update: Successful breakout, failed S/R test.
Overview: CTSI/USDT failed to bounce off the S/R flip. Looks like a retest is trying to get going today.
Analysis: CTSI/USDT has shown weakness during bitcoin's recent uptick. This prevented a successful retest of prior resistance-turned-support. My updated chart shows an upward channel colliding with a penultimate line of resistance. The arrows simply indicate possible reactions to this retest.
Deeper Dive: The recent price action in this coin highlights the need to manage risk by identifying other market conditions that may be detrimental to an otherwise well thought-out trading strategy based upon technical analysis alone. It is typical of small cap altcoins to respond to BTC's increased dominance. As soon as BTC stabilizes, especially if it stabilizes in spite of equities markets' performance, expect altcoins to continue to outperform. If it does not hold up and BTC retraces abruptly, expect CTSI to respond negatively. BTC is still, and perhaps always will be, the oxygen-providing asset allowing other coins to breathe. If you don't have a monitor to dedicate to BTC's performance, be diligent about setting alerts. Tradingview has one of the few alerting systems that work consistently. I would recommend it.
Comments: I remain long in this coin with a relatively tight s/l. I expect BTC's performance to be the dominant external determinant. Since BTC is holding up v. equities markets today, that might be taken as a positive sign. I remain cautious, but optimistic.
Final note: If the retest is successful, I expect my prior analysis to remain in tact.
"Every day is a little life. Every waking and rising a little birth, every fresh morning a little youth, every going to rest and sleep a little death." -Schopenhauer
Good luck.
Analysis: CTSI/USDT has shown weakness during bitcoin's recent uptick. This prevented a successful retest of prior resistance-turned-support. My updated chart shows an upward channel colliding with a penultimate line of resistance. The arrows simply indicate possible reactions to this retest.
Deeper Dive: The recent price action in this coin highlights the need to manage risk by identifying other market conditions that may be detrimental to an otherwise well thought-out trading strategy based upon technical analysis alone. It is typical of small cap altcoins to respond to BTC's increased dominance. As soon as BTC stabilizes, especially if it stabilizes in spite of equities markets' performance, expect altcoins to continue to outperform. If it does not hold up and BTC retraces abruptly, expect CTSI to respond negatively. BTC is still, and perhaps always will be, the oxygen-providing asset allowing other coins to breathe. If you don't have a monitor to dedicate to BTC's performance, be diligent about setting alerts. Tradingview has one of the few alerting systems that work consistently. I would recommend it.
Comments: I remain long in this coin with a relatively tight s/l. I expect BTC's performance to be the dominant external determinant. Since BTC is holding up v. equities markets today, that might be taken as a positive sign. I remain cautious, but optimistic.
Final note: If the retest is successful, I expect my prior analysis to remain in tact.
"Every day is a little life. Every waking and rising a little birth, every fresh morning a little youth, every going to rest and sleep a little death." -Schopenhauer
Good luck.
Trade closed: target reached