LTC/BTC Profit Strategy! Full Technical Analysis of the pair.

If you look at LTC at 4h, so we can see a growing channel, which, in essence, we can interpret the chart as if we are now near the bottom of a growing channel and this is an ideal point for opening a long position. But such an interpretation of the schedule will be a juggling of facts.
Why? Because such a construction of channels plays the weakest role in front of an already established trend. With this approach, you can draw with each new drop a new support and reinforce it with your "Art".


But we also have the right TA in terms of looking at 4h where we have an adequate, absolutely parallel channel built with a magnet, which clearly shows that we broke through the channel bottom after testing this support, then jumped under the channel and began to test the already formed resistance . And besides the fact that we have already conducted a test of this resistance, we, firstly, have already come out to re-test it, as we fixed the price above the previous one, and secondly we have an equally interesting second - a gentler resistance (dotted line) where there will be a logical the next touch point in the area is 0.009421.


First of all - there is the magnet line (dotted red line) that draws the price to itself. More likely, we will touch the line at the following price: ±0,0094 BTC. At the moment we can see the case when buyers will have enough powers to reach the resistance, but not to break it.


After reaching the resistance, the price more likely will start dumping. However, we can't ignore the figure that every trader is trying to find - Cup With Handle. Right now we can see the signs of forming a perfect one.


There is only one option where we won't open a SHORT - If we break the resistance and keeps above it. In this case, we will carefully observe the price and open a LONG for the price 0.01 BTC with the purpose of catch upward movements caused by the bullish pattern - cup with handle.

Sum up: it makes sense to open a LONG position and close it at the 0.0092 - 0.0094 BTC. Then wait until the price will try to break the resistance and then make a decision about the direction of next position. However, we won't open any LONG position now, because due to the unstable situation with BTC, it can be quite a risky trade.

I strongly recommend reading the previous idea on XBT/USD.
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