mariobenitez1618

LTCUSD Technical Analysis 4 hour - Buy opportunity approaching

COINBASE:LTCUSD   Litecoin / U.S. Dollar
Hi there.

Current state:

Out. Waiting to get in. Price action has been mostly lateral, although there are some signs the price may be moving up.

Indicators/Charts analysis:

  • RSI is in the oversold area still. This means there is room to go up.
  • Stock RSI approaching overbought area. Watch out for this one since it is not confirming what the RSI is telling us so it could mean a break out, possibly in the down direction.
  • Renko (0.74 brick) main trend is still down. Although like I said, price action has been lateral so no new red bricks have been forming.
  • EMA 12, 26, 50 beginning to turn horizontal.
  • Candle sticks are moving sideways.
  • Awesome indicator shows bulls have more power than the bears at the moment and it is slowly moving towards 0.
  • Price is moving below BB media. This suggests there is room to go up.
  • RSI and Stoch RSI in renko are in the oversold area. This also suggests the possibility of a trend change. They have been there for several periods, so we have to watch out for an up move.

Stop Loss:

$43.78 - This is our possible entry point to the trade. I usually set it slightly above 2 renko bricks from the last red brick.

Target:

$46.49 (+6.1%) - Target was selected based on current volume profiles and Fib retractments (black ribbon in golden river - bottom right chart). We may adjust once we enter the trade and have a better feel for what the market behavior is. Remember we have to be extra patient with our wining trades.

Alarms:

Price crossing up $42.87. This is an early warning that we may be approaching our entry point for our trade.

Conclusion:

Hold. Keep an eye on the market as we may be entering the trade soon.

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***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.**