Hello Traders,
Here is this week’s $LTC perspective. I’m going to shorten these up so that I can provide a wider focus for you all. I welcome discussion and suggestions.
Litecoin finally took center stage the last few days. I have clearly noticed a trend where when one of our top five coins shows weakness or strength during a run or drop, it almost seems to inevitably correct this in short order. Compare the top 5 and balance your accumulation accordingly while waiting for the next move. I suggest long bias right now unless you are in the trenches full time with me.
I had noticed that LTC was looking very weak while trying to hold support after the last leg up where we hit 107 and rejected back to 84. It looked like we were going to fall back a level and the only thing that kept me from dumping my last position was the fact that BTC looked quite solid. Sure enough, bulls showed up in a big way during this last leg up and they have looked quite strong in their support between 116 and 114 since. I was ready with a stop buy at the 107 bull break and that position is now sitting with a small profit stop loss. I am playing each break this way because we are on the verge of turning our long-term trend bullish and I want to have a good chunk of my portfolio in a longer-term hold if/when we reach 50% of ATH.
This will allow me to simply focus on determining when to fully exit for our next bear cycle. So, if we drop, some of my positions might stop out but that’s ok because they will be in profit and I hope to reload them lower.
Now let’s address the elephant in the room; When we correct, how bad will it be?
I am not a fortune teller but I can tell you what the chart is saying to me in terms of classical TA.
We have a clear uptrend channel that has about a 30% range from top to bottom.
If we correct from here, we should expect to lose our last breakout move and touch 104 at a minimum (about 9%) otherwise I would not even call it consolidation. Even though 100 should provide a good psychological support, I feel that since we have run so hard for the last two months this level would likely break due to panic selling. This would have us touching 92 (about 18.5%). If we stop here that would be ideal but this support is light which makes me think we will continue down finding even stronger support at 84 (about 25%). This area has very strong support and is near the bottom of our current uptrend support line. Breaking this would have me a bit concerned and looking to the weekly chart for support. On the weekly we can see support at 74 and then a very strong support at 60 (47% roughly). I think we would need some bad news to get all the way down here but if we did, I would be aggressively buying if the news was not all that bad in my perspective.
Since the RSI is 71 on the weekly, $60 is entirely possible if we get a strong bad news catalyst. If we correct naturally, as markets do, then I would expect 84. If we only correct to 100 and get continuation to the upside from there, I will be looking at ATH targets for later this year but I will also be expecting another pull back sooner rather than later.
Let’s not forget we are working on our 5th VERY bullish weekly candle since our last pull back and that pull back was about 30%. We are also just hitting solid price action from 2018 where it would make sense for us to correct a bit.
Now let’s entertain the inner moon boy for a moment because I think a lot of us are feeling it right now. From this price area we shot STRAIGHT UP in 17. Literally 1 huge green month took us to ATH at 420. Currently we have ANOTHER strong bull flag with a tightening range and an incredibly bullish run up. The trend is heavily in favor of continued upside at this point. Our breakout level is 122 and our breakdown level is 110. We have a strong center line at 114 and bulls are buying the dips with vigor (this is fading a little). BTC is being mentioned in the news again, we have multiple ETFs trying to get through SEC, LTC halving is in 2 months, and with a pullback then a higher high all trends will become bullish. The stock market it scary at the moment with all the political turmoil and we are seeing some notable weakness (not panic but it does feel like the floor could fall out). Money could come over to crypto, OR, if we get an ETF ... that could lead to a run like we have never seen before as money flocks for hedge, excitement, and fomo all at once.
I could write pages about all the bullish indicators we have on our daily and weekly charts but I am not going to.
I also want to mention that Charlie Lee made a Tweet yesterday. “Getting ready...” is what he said and LTC will likely announce lighting support shortly. Charlie has nailed tops and bottoms with consistency and they are usually marked by tweets like this. Its hard not to be bullish right now even KNOWING that consolidation is VERY likely soon. This may indeed be the start of the next crypto lunar adventure but let’s not get ahead of ourselves.
My strategy currently:
- Stop buy breakout of tightening ranges. Placing stop losses 1 support level below once they fill and then moving those stops into small profit once continuation occurs. (typically working off the 15 min or 1 hr chart)
- Looking for 12 and 26 EMA crosses on the 5,15- and 60 min time frames for quick trades.
- Not scalping. We are due for a larger pullback and I want to have more cash for accumulation on consolidation when that happens.
Please like and subscribe for more!
If you want me to bring back the in depths please tell me in the comments.
Not investment or trading advise because I do not have proper certification to give you that.
Here is this week’s $LTC perspective. I’m going to shorten these up so that I can provide a wider focus for you all. I welcome discussion and suggestions.
Litecoin finally took center stage the last few days. I have clearly noticed a trend where when one of our top five coins shows weakness or strength during a run or drop, it almost seems to inevitably correct this in short order. Compare the top 5 and balance your accumulation accordingly while waiting for the next move. I suggest long bias right now unless you are in the trenches full time with me.
I had noticed that LTC was looking very weak while trying to hold support after the last leg up where we hit 107 and rejected back to 84. It looked like we were going to fall back a level and the only thing that kept me from dumping my last position was the fact that BTC looked quite solid. Sure enough, bulls showed up in a big way during this last leg up and they have looked quite strong in their support between 116 and 114 since. I was ready with a stop buy at the 107 bull break and that position is now sitting with a small profit stop loss. I am playing each break this way because we are on the verge of turning our long-term trend bullish and I want to have a good chunk of my portfolio in a longer-term hold if/when we reach 50% of ATH.
This will allow me to simply focus on determining when to fully exit for our next bear cycle. So, if we drop, some of my positions might stop out but that’s ok because they will be in profit and I hope to reload them lower.
Now let’s address the elephant in the room; When we correct, how bad will it be?
I am not a fortune teller but I can tell you what the chart is saying to me in terms of classical TA.
We have a clear uptrend channel that has about a 30% range from top to bottom.
If we correct from here, we should expect to lose our last breakout move and touch 104 at a minimum (about 9%) otherwise I would not even call it consolidation. Even though 100 should provide a good psychological support, I feel that since we have run so hard for the last two months this level would likely break due to panic selling. This would have us touching 92 (about 18.5%). If we stop here that would be ideal but this support is light which makes me think we will continue down finding even stronger support at 84 (about 25%). This area has very strong support and is near the bottom of our current uptrend support line. Breaking this would have me a bit concerned and looking to the weekly chart for support. On the weekly we can see support at 74 and then a very strong support at 60 (47% roughly). I think we would need some bad news to get all the way down here but if we did, I would be aggressively buying if the news was not all that bad in my perspective.
Since the RSI is 71 on the weekly, $60 is entirely possible if we get a strong bad news catalyst. If we correct naturally, as markets do, then I would expect 84. If we only correct to 100 and get continuation to the upside from there, I will be looking at ATH targets for later this year but I will also be expecting another pull back sooner rather than later.
Let’s not forget we are working on our 5th VERY bullish weekly candle since our last pull back and that pull back was about 30%. We are also just hitting solid price action from 2018 where it would make sense for us to correct a bit.
Now let’s entertain the inner moon boy for a moment because I think a lot of us are feeling it right now. From this price area we shot STRAIGHT UP in 17. Literally 1 huge green month took us to ATH at 420. Currently we have ANOTHER strong bull flag with a tightening range and an incredibly bullish run up. The trend is heavily in favor of continued upside at this point. Our breakout level is 122 and our breakdown level is 110. We have a strong center line at 114 and bulls are buying the dips with vigor (this is fading a little). BTC is being mentioned in the news again, we have multiple ETFs trying to get through SEC, LTC halving is in 2 months, and with a pullback then a higher high all trends will become bullish. The stock market it scary at the moment with all the political turmoil and we are seeing some notable weakness (not panic but it does feel like the floor could fall out). Money could come over to crypto, OR, if we get an ETF ... that could lead to a run like we have never seen before as money flocks for hedge, excitement, and fomo all at once.
I could write pages about all the bullish indicators we have on our daily and weekly charts but I am not going to.
I also want to mention that Charlie Lee made a Tweet yesterday. “Getting ready...” is what he said and LTC will likely announce lighting support shortly. Charlie has nailed tops and bottoms with consistency and they are usually marked by tweets like this. Its hard not to be bullish right now even KNOWING that consolidation is VERY likely soon. This may indeed be the start of the next crypto lunar adventure but let’s not get ahead of ourselves.
My strategy currently:
- Stop buy breakout of tightening ranges. Placing stop losses 1 support level below once they fill and then moving those stops into small profit once continuation occurs. (typically working off the 15 min or 1 hr chart)
- Looking for 12 and 26 EMA crosses on the 5,15- and 60 min time frames for quick trades.
- Not scalping. We are due for a larger pullback and I want to have more cash for accumulation on consolidation when that happens.
Please like and subscribe for more!
If you want me to bring back the in depths please tell me in the comments.
Not investment or trading advise because I do not have proper certification to give you that.