Hi friends! Welcome to this update analysis on Litecoin! Let's get right to it! Looking at the four hour chart, you can see that LTC has pretty much made it to the downside target that I've been talking about — the blue trendline. Since my lTC post on the 12th, titled "Crystal Ball Analysis on LITECOIN!" I've been warning of a fall to these levels. Now, here we are.
On the chart, you can see that LTC is inside of the grey "Support/Resistance Zone" as it gets closer and closer to touching the blue trendline. The question now, is what is going to happen from here? Well, if you look at the MACD, it appears as though sell side momentum is expanding to the downside, and the bearish volume is picking up on the chart. Therefore, they indicate an increase in selling pressure. However, the MACD is printing a weak bullish divergence. So, I think the most likely situation, is that BTC will find support somewhere around here. Whether it be on the blue trendline exactly, or somewhere inside of this support/resistance zone, I think we are likely to see a bounce soon.
With that said, I do think that a bounce will be short lived, and that the upside is limited. As you can see, the 50 EMA (in orange) has been extremely resistive. This is something that I've been warning about over and over. Knowing this, I think that it will continue to put a lid on any rallies that we see. That's why I think that it's very likely that a bounce from this area will be short lived. You can see that the 50 has produced four rejections (red arrows,) causing LTC to move exactly as I had anticipated.
Generally speaking, I think that Litecoin will breakdown below the blue trendline. Once that happens, it's likely that we will fall back down toward the 105 handle, where we are very likely to see a bounce off of the 2/6 low. From there, the path becomes more speculative. I think we could see a stronger rally back into the bottom of the blue trendline, which should produce a rejection, followed by a drop to around the 93.75 level. I'm the master of the charts, the professor, the legend, the king, and I go by the name of Magic! Au revoir.
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
If you guys are worried about Litecoin.... please don't. Litecoin is holding the same 78.6% Fibonacci retracement support level from wave D in the triangle as it has ALWAYS done historically.
shibbby
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This chart played out well. However it's no longer useful. We need to know what to do next master.
piatt.jesse
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Looks like Majic was right on track. weres all the haters now? well done sir.
saqibcpe06
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Hey Magic. Can you please update this post? Thanks
jarking
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@MagicPoopCanonn Lead us in the dark ocean. we are afraid of big teeth shark :)
earthling
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Nice prediction Here^. And for all of those folks complaining "he said this #, he said that #" ... folks...TA is about probabilities, which is why your TA should always read: "if this happens, then probably this will happen, and if it does happen, then this will probably happen next..." because all traders know that the market is unpredictable. The goal is to see probabilities vs. risk and trade them. Which is all to say- Nice TA here. The market has followed amazingly close to your call Magic.
TVray
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Utterly phenomenal! People, give credit where it is due -- promptly to the man with the magic crystal ball. Hats off, folks.