Hello,
Today let's talk about the decentralized prediction market coin named Augur (REP).
Similarly to most altcoins, REP/BTC took an important (but waited and quite due) correction after going from 400k in March to its all time high at 1600k in May (4x growth). Today REP/BTC trades around 610k which represent more than 60% in retracement.
But with BTC coming back on its feet and with the current chart setup of Augur, good opportunity of trading could come.
Indeed, on the chart you could see that REP/BTC is on a descending wedge (in black on the chart) which is a bullish pattern because it tends to break upward. REP bounced on the bottom of this wedge two times on the last days. At this level as you can see we also have two strong resistances: the longterm uptrend line in purple and the dashed black line which is the 0.236 Fib resistance.
REP is also inside of two descending triangles: a short term one (between the purple and the orange lines) which should resolve before the 8th of august and a medium term one (between the upper black and the purple one) which should resolve before the end of August.
If the first triangle brokes upward we may see an uptrend in order to test the 0.382 fib resistance and if 0.382 breaks REP will test the top of the descending channel (up to the upper black line maybe up to 750-800k). If the uptrend momentum is big enough, we could even see a break of the second triangle. But I think we will have several bounce inside the second triangle in August before it breaks. If this second triangle break upward we will also test the 0.382 fib resitance (if we are below it), then a resistance between 900K and 1000k before testing the 0.618 fib resistance.
If one of the triangle breaks downward (quite unlikely because we are on strong resistances, but a huge momentum -up or down- on BTC/USD could breaks those resistances) REP will test the bottom of the descending wedge with the black line. If this resistance doesn’t hold we may go down to 500k where the older resistance of the 1st trimester of the year became a support.
On the indicators side, the mix of OBV, ADX/DMI, RSI , Volume Zone and MacD doesn’t give a strong buy signal because they don’t concord at the same time. The best signal which remains weak is shown on the chart with the green B letter around 570-600k.
In conclusion, due to the good resistances in place, It may be a good time to buy some REP (at the bottom of the triangle or when the triangles break for a safer buy).
Today let's talk about the decentralized prediction market coin named Augur (REP).
Similarly to most altcoins, REP/BTC took an important (but waited and quite due) correction after going from 400k in March to its all time high at 1600k in May (4x growth). Today REP/BTC trades around 610k which represent more than 60% in retracement.
But with BTC coming back on its feet and with the current chart setup of Augur, good opportunity of trading could come.
Indeed, on the chart you could see that REP/BTC is on a descending wedge (in black on the chart) which is a bullish pattern because it tends to break upward. REP bounced on the bottom of this wedge two times on the last days. At this level as you can see we also have two strong resistances: the longterm uptrend line in purple and the dashed black line which is the 0.236 Fib resistance.
REP is also inside of two descending triangles: a short term one (between the purple and the orange lines) which should resolve before the 8th of august and a medium term one (between the upper black and the purple one) which should resolve before the end of August.
If the first triangle brokes upward we may see an uptrend in order to test the 0.382 fib resistance and if 0.382 breaks REP will test the top of the descending channel (up to the upper black line maybe up to 750-800k). If the uptrend momentum is big enough, we could even see a break of the second triangle. But I think we will have several bounce inside the second triangle in August before it breaks. If this second triangle break upward we will also test the 0.382 fib resitance (if we are below it), then a resistance between 900K and 1000k before testing the 0.618 fib resistance.
If one of the triangle breaks downward (quite unlikely because we are on strong resistances, but a huge momentum -up or down- on BTC/USD could breaks those resistances) REP will test the bottom of the descending wedge with the black line. If this resistance doesn’t hold we may go down to 500k where the older resistance of the 1st trimester of the year became a support.
On the indicators side, the mix of OBV, ADX/DMI, RSI , Volume Zone and MacD doesn’t give a strong buy signal because they don’t concord at the same time. The best signal which remains weak is shown on the chart with the green B letter around 570-600k.
In conclusion, due to the good resistances in place, It may be a good time to buy some REP (at the bottom of the triangle or when the triangles break for a safer buy).
Comment:
First triangle was broken upward as you can see. Price could now explore the upper side of the descending wedge. We are currently at a small resistance around 680k. We may have a small downward mouvement before going back up.
Comment:
Here is the current situation on REP/BTC: Rep felt off the black descending wedge and formed a new descending channel in blue (tends to break up). As you can see on the last day, REP/BTC tried to come back on the black wedge. In the afternoon the price came back on the wedge but the 4H bar didn't close on it and came back inside the blue channel. If the price doesn't break up and close outside of the blue channel, REP won't come back on the black descending wedge.
We also have different resistances to break in order to come back really well in the black descending wedge : the longterm uptrend (purple line), the 0.236 Fib resistance,
The indicators shows that we may have a little up mouvement or sideway mouvement before going back down so we may not leave the blue channel unless a big dump happen on BTC.
On the REP/USD chart, the price is inside a descending blue channel (tend to break up). The indicators seem to predict a small uptrend in order to go to the top part of the channel.
In conclusion we may have some up mouvement or sideway mouvement for the following hours. If REP/BTC 4H bar breaks up and close outside of the blue descending channel, we could see a comeback onto the previous descending wedge.
But on those days with all attention on BTC, Technical Analysis is quite hard: BTC is the king and could completly destroy even the best chart setup.
We also have different resistances to break in order to come back really well in the black descending wedge : the longterm uptrend (purple line), the 0.236 Fib resistance,
The indicators shows that we may have a little up mouvement or sideway mouvement before going back down so we may not leave the blue channel unless a big dump happen on BTC.
On the REP/USD chart, the price is inside a descending blue channel (tend to break up). The indicators seem to predict a small uptrend in order to go to the top part of the channel.
In conclusion we may have some up mouvement or sideway mouvement for the following hours. If REP/BTC 4H bar breaks up and close outside of the blue descending channel, we could see a comeback onto the previous descending wedge.
But on those days with all attention on BTC, Technical Analysis is quite hard: BTC is the king and could completly destroy even the best chart setup.
Moreover, indicators gave a better buy signal yesterday (not strong but a better one than the previous)