Backstory
I have been following link very closely after its last dump and am rather happy, all in all. There is a chance to play another break out which will allow me to add to my position and tighten up my stops on my margin positions and prepare myself to buy the next dip as buying dips has been very successful.
Chart formation (and fundamentals)
In general rising wedges are considered bearish formations but Link just printed an all time high and we have central banks around the world committed to debasing their currency through various avenues. Defi is one of the only places people can put their money in such a way to get interest. Hell, you can get 9-11% a year on just tether which is flat against the dollar. You can put your money in anything remotely bullish cryptowise and its better than keeping money in an traditional financial institution.
So guess what? The prediction is this wedge is going to break up with a nice little pop and then return to one of these trend lines.
Indicators
The bollinger band main use on the 4 hour time frame will be looking at where to find support rather than resistance for the uptrend. We will pop up and run against the top for a couple of days and then we will start to cool off. If the price actoin goes to the baseline (20 period SMA) then it will be time to look for a reversal pattern for another entry, either to buy and hold or to put on some margin If price goes to the lower edge of the bollinger band it will be time to once again look for reversal structure.
The On balance volume EMAs are set to 25-50-100. The default is 10-20-100 but I am fiddling with them to get more reliable long term signals and so far I like these. A few periods ago the 50 crossed the 100 so we have a fairly solid confirmation that buyers are stepping up to buy these dips
Summation
All in all I think the green area will be a consolidation like one of our Elliot wave corrections or pennant on a flagpole, bisecting or trisecting the larger move upward. The linked ideas show why I am so bullish on Link especially against btc and eth. Don't forget basic trading when it comes to setting stops and take profits with the chart patterns and indicators.
I have been following link very closely after its last dump and am rather happy, all in all. There is a chance to play another break out which will allow me to add to my position and tighten up my stops on my margin positions and prepare myself to buy the next dip as buying dips has been very successful.
Chart formation (and fundamentals)
In general rising wedges are considered bearish formations but Link just printed an all time high and we have central banks around the world committed to debasing their currency through various avenues. Defi is one of the only places people can put their money in such a way to get interest. Hell, you can get 9-11% a year on just tether which is flat against the dollar. You can put your money in anything remotely bullish cryptowise and its better than keeping money in an traditional financial institution.
So guess what? The prediction is this wedge is going to break up with a nice little pop and then return to one of these trend lines.
Indicators
The bollinger band main use on the 4 hour time frame will be looking at where to find support rather than resistance for the uptrend. We will pop up and run against the top for a couple of days and then we will start to cool off. If the price actoin goes to the baseline (20 period SMA) then it will be time to look for a reversal pattern for another entry, either to buy and hold or to put on some margin If price goes to the lower edge of the bollinger band it will be time to once again look for reversal structure.
The On balance volume EMAs are set to 25-50-100. The default is 10-20-100 but I am fiddling with them to get more reliable long term signals and so far I like these. A few periods ago the 50 crossed the 100 so we have a fairly solid confirmation that buyers are stepping up to buy these dips
Summation
All in all I think the green area will be a consolidation like one of our Elliot wave corrections or pennant on a flagpole, bisecting or trisecting the larger move upward. The linked ideas show why I am so bullish on Link especially against btc and eth. Don't forget basic trading when it comes to setting stops and take profits with the chart patterns and indicators.
Comment:
Lol got this one wrong.
And I promise every Floridian that you will all be rich... because we're gonna print some more money! Why didn't anybody ever think of this before?
~Nathan Explosion
~Nathan Explosion
