How this trade might turn a penny into a nickel.
This is just an exercise in theoretical technical analysis but lets explore the relationship between Bitcoin (major) and Elf (minor) and how the large cap cryptocurrencies impact the smaller caps. There is a reason for bitcoin to go down as it gets a "breather" and that may weigh on ELF making it a buying opportunity once we reach climactic selling.
What is most clear about this chart is that ELFUSD has a tendency of only running down 80% generally, and then it attempts to rally back with an equal amount of momentum.
In spite of making a swift move closer to zero there may still be a chance for this to run another 75 to 80%, historically it stalls at 0.25 and its find some stable ground near one penny.
This educational blurb will go over a few themes:
WAVE 1 DOWN
WAVE 2 UP COUNTERTREND
WAVE 3 DOWN. It is almost completed
Wave 4? it could be up
How to ride a counter trend wave
How to become an angel willing to go where most people would not dare
A revival of demand when it seems like there is no hope, fundamentally there is no reasons that we are exploring in this as a driver for any perceived upside expectation, so this relies heavily on buying this between 8 cents and 1 penny,
Buying low and selling high; its far to say this crypto has been so depressed that the only direction from here would be up, if it has any intrinsic value it doesn't need to go to zero. The strategy is to buy between 0.08 and 0.05 but not below 0.05, in our opinion at 0.01 it would be deemed useless and would struggle the most with momentum, some crypto currencies could even dissolve.
The tightness in the most recent range on the daily time frame indicates a possible sideways action before breaking out to the upside, there is only a small max supply which is a reason for the trade.
There is always a chance for it to go to one penny, but then the risk in the trade would only be capped at a unit value of one.
There is a limited supply of most cryptocurrencies, what would be most difficult in a case like this is gauging the demand, if a whale jumps into this trade there is enough potential to move it 80% again.
We would get out of the trade or cut or losses when if it does reach fractions of a penny or below 0.01 but that is the MAXIMUM RISK, as bitcoin finds a temporary bottom so should this crypto. The one positive development it has going for it at this moment is that its coiling up into a nice consolidation near 0.081 the time to buy it may be sooner than later
This is just an exercise in theoretical technical analysis but lets explore the relationship between Bitcoin (major) and Elf (minor) and how the large cap cryptocurrencies impact the smaller caps. There is a reason for bitcoin to go down as it gets a "breather" and that may weigh on ELF making it a buying opportunity once we reach climactic selling.
What is most clear about this chart is that ELFUSD has a tendency of only running down 80% generally, and then it attempts to rally back with an equal amount of momentum.
In spite of making a swift move closer to zero there may still be a chance for this to run another 75 to 80%, historically it stalls at 0.25 and its find some stable ground near one penny.
This educational blurb will go over a few themes:
WAVE 1 DOWN
WAVE 2 UP COUNTERTREND
WAVE 3 DOWN. It is almost completed
Wave 4? it could be up
How to ride a counter trend wave
How to become an angel willing to go where most people would not dare
A revival of demand when it seems like there is no hope, fundamentally there is no reasons that we are exploring in this as a driver for any perceived upside expectation, so this relies heavily on buying this between 8 cents and 1 penny,
Buying low and selling high; its far to say this crypto has been so depressed that the only direction from here would be up, if it has any intrinsic value it doesn't need to go to zero. The strategy is to buy between 0.08 and 0.05 but not below 0.05, in our opinion at 0.01 it would be deemed useless and would struggle the most with momentum, some crypto currencies could even dissolve.
The tightness in the most recent range on the daily time frame indicates a possible sideways action before breaking out to the upside, there is only a small max supply which is a reason for the trade.
There is always a chance for it to go to one penny, but then the risk in the trade would only be capped at a unit value of one.
There is a limited supply of most cryptocurrencies, what would be most difficult in a case like this is gauging the demand, if a whale jumps into this trade there is enough potential to move it 80% again.
We would get out of the trade or cut or losses when if it does reach fractions of a penny or below 0.01 but that is the MAXIMUM RISK, as bitcoin finds a temporary bottom so should this crypto. The one positive development it has going for it at this moment is that its coiling up into a nice consolidation near 0.081 the time to buy it may be sooner than later