LTCUSD Technical Analysis 4 hour - Wait for confirmation to buy
Hello there!
Still waiting for confirmation to buy.
It appears that the massive selling slowed down. However we did hit a pretty low price ($39.41) earlier today, but rebounded from that.
However you might as well consider this as lateral price action since the low prices and rebounds are a consequence of momentum.
We could see a period of slow movement. That is ok. As long as this thing keeps going up and down, we can make money.
Renko chart is starting to show some green...although not that much. Renko is not showing new red bricks either so as I said, price action is lateral. Renko brick size is 0.74
Parabolic SAR is also showing a small trend up. Good.
I currently have an alarm setup to go off whenever price crosses $43.99. This is basically a brick and a half up from the current reko brick possibly signaling a reversal.
My stop loss is currently at 44.75. As you can see this is also above the EMA 12.
The plan is to look at indicators when prices approach 43.99 and make a decision whether the stop loss should be kept to eventually enter a trade or be removed.
Again, we are looking for the Awesome Indicator to be approaching 0, if not already crossing 0 on the way up.
We are also looking at the EMA12 and EMA26 running parallel or closing in to each other.
Current RSI is in oversold conditions (28.12) although it could still drop even further. Keep an eye here.
Stochastic is rising which is a good indication of price action starting to move up. You can obviously also see this in the candle chart.
I will make my decision to enter the trade as price rise a little more. Remember we don't care to buy at the lowest point and sell at the highest point. We care to buy low and sell high! We also don't care to accumulate LTC. We want USD.
If we enter a trade based on what is described above the potential exit objectives with an entry point of $44.75 would be:
Price usually stays above the EMA 12 when it is going up. So we will ride the EMA 12 using a sliding stop loss. Once price goes above objective prices, we will set the stop loss to those prices guaranteeing a profit.
Remember: Be patient with your winning trades and very impatient with losing ones (i.e. cut your loses short and let your wins ride the trend for as long as you can!)
Take a look at the charts and do your own analysis. I found this is the best way to trade.
If you like this, you can donate your LTC to:
LZKza6vBcBnkfaDMHYXXUd6ud8Jf87Lfm3
Any donations will help me keep posting analysis.
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.**
Still waiting for confirmation to buy.
It appears that the massive selling slowed down. However we did hit a pretty low price ($39.41) earlier today, but rebounded from that.
However you might as well consider this as lateral price action since the low prices and rebounds are a consequence of momentum.
We could see a period of slow movement. That is ok. As long as this thing keeps going up and down, we can make money.
Renko chart is starting to show some green...although not that much. Renko is not showing new red bricks either so as I said, price action is lateral. Renko brick size is 0.74
Parabolic SAR is also showing a small trend up. Good.
I currently have an alarm setup to go off whenever price crosses $43.99. This is basically a brick and a half up from the current reko brick possibly signaling a reversal.
My stop loss is currently at 44.75. As you can see this is also above the EMA 12.
The plan is to look at indicators when prices approach 43.99 and make a decision whether the stop loss should be kept to eventually enter a trade or be removed.
Again, we are looking for the Awesome Indicator to be approaching 0, if not already crossing 0 on the way up.
We are also looking at the EMA12 and EMA26 running parallel or closing in to each other.
Current RSI is in oversold conditions (28.12) although it could still drop even further. Keep an eye here.
Stochastic is rising which is a good indication of price action starting to move up. You can obviously also see this in the candle chart.
I will make my decision to enter the trade as price rise a little more. Remember we don't care to buy at the lowest point and sell at the highest point. We care to buy low and sell high! We also don't care to accumulate LTC. We want USD.
If we enter a trade based on what is described above the potential exit objectives with an entry point of $44.75 would be:
- $47.11 - This is the middle of the band. Yield: +5.27%
- $48.54 - First Fib retractment after mid band. Yield: +8.46%
- $49.32 - Next Fib retractment after mid band. Yield: +10.21%
Price usually stays above the EMA 12 when it is going up. So we will ride the EMA 12 using a sliding stop loss. Once price goes above objective prices, we will set the stop loss to those prices guaranteeing a profit.
Remember: Be patient with your winning trades and very impatient with losing ones (i.e. cut your loses short and let your wins ride the trend for as long as you can!)
Take a look at the charts and do your own analysis. I found this is the best way to trade.
If you like this, you can donate your LTC to:
LZKza6vBcBnkfaDMHYXXUd6ud8Jf87Lfm3
Any donations will help me keep posting analysis.
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.**
