LTC/BTC Trend Change | Key Resistance | New local higher low
Hello traders,
Today’s chart update will be on Litecoin which has changed its market structure breaking a key resistance line. Currently testing an important local resistance level that needs to break, will bulls have enough momentum to push price higher?
Points to consider:
- Trend Structure Broken
- Local resistance being tested
- Local support in confluence with double bottom
- Stochastics in upper region
- RSI in upper region
- EMA’s turned bullish
- Noticeable increase in volume
- VPVR decreasing in volume of transactions
Litecoin bulls have successfully broken its lower high trend projection, a key resistance line. The overall market structure in now looking to put in a new local higher low. Local resistance is now being tested; this area is important and needs to be broken to further confirm the trend change. Local support is found in the green zone, it is in confluence with a potential double bottom, signalling that buyers are very strong as price has now been pushed up twice.
The stochastics is trading in the upper region, it can stay up there for an extended period of time, however we do have a lot of stored momentum do the downside. The RSI is also trading in the upper region, very over-extended at current given time, a correction in price will return it back to neutral territory. Furthermore, the EMA’s have turned bullish after initial break of the trend line, it needs to hold price as support to further confirm the trend change.
VPVR is quite interesting, it has a visible decrease in volume of transactions from local resistance. This suggests that bulls will have little resistance posed by the VPVR when and if local resistance is broken. volume has increased drastically; it needs to sustain with follow through to avoid the chances of a false break from current local resistance.
Overall, IMO, Litecoin has broken a key resistance line, breaking key market structure. It is now testing an important resistant zone. It is more probable for price to retrace back to the .50 and or .618 Fibonacci Line before making another impulse move up. This will allow indicators such as the RSI return to neutral territory and will also allow the trend to put in a new higher low.
What are your thoughts on Litecoin’s trend change?
Please leave a like and comment,
And remember,
There is a huge difference between a good trade and good trading.” – Steve Burns
Today’s chart update will be on Litecoin which has changed its market structure breaking a key resistance line. Currently testing an important local resistance level that needs to break, will bulls have enough momentum to push price higher?
Points to consider:
- Trend Structure Broken
- Local resistance being tested
- Local support in confluence with double bottom
- Stochastics in upper region
- RSI in upper region
- EMA’s turned bullish
- Noticeable increase in volume
- VPVR decreasing in volume of transactions
Litecoin bulls have successfully broken its lower high trend projection, a key resistance line. The overall market structure in now looking to put in a new local higher low. Local resistance is now being tested; this area is important and needs to be broken to further confirm the trend change. Local support is found in the green zone, it is in confluence with a potential double bottom, signalling that buyers are very strong as price has now been pushed up twice.
The stochastics is trading in the upper region, it can stay up there for an extended period of time, however we do have a lot of stored momentum do the downside. The RSI is also trading in the upper region, very over-extended at current given time, a correction in price will return it back to neutral territory. Furthermore, the EMA’s have turned bullish after initial break of the trend line, it needs to hold price as support to further confirm the trend change.
VPVR is quite interesting, it has a visible decrease in volume of transactions from local resistance. This suggests that bulls will have little resistance posed by the VPVR when and if local resistance is broken. volume has increased drastically; it needs to sustain with follow through to avoid the chances of a false break from current local resistance.
Overall, IMO, Litecoin has broken a key resistance line, breaking key market structure. It is now testing an important resistant zone. It is more probable for price to retrace back to the .50 and or .618 Fibonacci Line before making another impulse move up. This will allow indicators such as the RSI return to neutral territory and will also allow the trend to put in a new higher low.
What are your thoughts on Litecoin’s trend change?
Please leave a like and comment,
And remember,
There is a huge difference between a good trade and good trading.” – Steve Burns
