My previous idea on STEEM reminded me of a few very important rules of trading, and here I am enforcing them strictly. The most pertinent being: ALWAYS wait for confirmation. Long term, the outlook is still very bullish, until we see some signals to the contrary. Short term, things are less sure, so we should wait for confirmation before entering.
This chart is a 343 minute with 4 simple moving averages: 7, 21, 77, 235, as used by bdkelly1203.
The most promising aspect of this chart is (A), the golden cross of the 77 over the 235 SMA. This hasn't happened since March, when steem last broke out. Until we see an inversion of this cross, I remain bullish long term. (B) is indicating a point of harmonic resonance, when two of the moving averages crossed on the 0.236 fib. This might sound "woo woo" to some people, but this can indicate harmonisation in the chart, suggesting it is "balanced" or "in tune". (C) indicates the strong support that the 235 SMA has provided to far, if this can support the 7 SMA without a cross, then that's a very positive sign, if the 7 crossed the 235 - bad news. Finally, (D) is our signal for a trend reversal. If the 7SMA can cross the 77 and the 21 after finding support at the 235, then we're in the money. This would be made all the sweeter if it happened right on the 0.236 fib!
After receiving confirmation of all the signals above, we should set our bid to just above the .382 fib at ~0.000315 with a stop loss below the 0.236 fib at ~0.000289. Our target should be just below the 1.618 fib of this run, which lines up with the 0.382 retracement fib of the previous break out, at ~ 0.000469
I will update this post as I receive confirmation diversion signals. Happy hunting!
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Well folks, it all comes down to this candle. If we can see a pop in price and a close towards the 0.236 fib, then the 7 SMA will hold above the 235. If we keep going in the current direction, it will break. We have the advantage of a mildly over sold RSI, although this is in recovery from a drastically overbought RSI during the breakout. The next 5 hours will give us the thumbs up or thumbs down. See you on the other side!
Order cancelled
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There it is, the 7 has broken the 235. The RSI is still oversold so I still expect a bounce, and the 77 and 235 SMAs are still in order so it still looks good long term, but the current trade is no longer valid.
I like this. I'm closely following your view in this crypto. Maybe when people starting using the SMTs for ICOs we'll get more buy orders for Steem raising its prices. Hoping it'll stay up and maybe have growth similar to Eth, just maybe. This tech is good - no fees within the site and instant transfers too.
Az_am_I
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Thanks @deveerei, I hope so too, there is a lot of potential for upside in this token. It now has the added strength of being more recognised and utilised than during its previous breakout. The project has stuck around and people are still using it, and now that crypto as a whole is getting more popular, it will be seen as a little more "cool" to get upvoted in crypto, rather than just a like/+1. An interesting social aspect. Not so sure about growth similar to eth, Eth was a revolution, this is more of a re-imagining. Still a lot of potential though!
deveerei
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@Az_am_I, the concept is great - with my hard work and effort I've been earning more than my day job (I'm in the Philippines though, so salary here is small when compared to other places esp US, minimum wag here is just around 10$ per day). There are different ways to get gains in Steem.
deveerei
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@Az_am_I, @deveerei, if i combine my organic in-site earnings in steemit plus trading then i would get the best of it - but i suck at TA haha - i'm just new in this space. I tried reading a lot but I bled myself out.