As you can see above, STEEM (USD) has just broken out of its long consolidation period and wedge pattern. The bullish divergence in both the RSI and MACD already gave us a sign of a possible reversal coming.
The MACD was also in a long consolidation period and wedge as well, STEEM had to break out one way or the other. And since it has already retraced significantly, the breakout would more likely be up then down.
Well, we don't have to guess or wait any longer cause the awaited breakout in STEEM has just occurred! But what's next for STEEM now it has just broken out in the short term? Let's take a look.
If we take a look from the start of the breakout and the retracement that followed, STEEM bounced nicely off its 12 ema around .0002700 satoshis, which was a previous resistance level as well. So old resistance becomes new support.
Also the bounced was between the 0.500 and 0.618 fib. level. These fib. levels are usually good levels for a bounce or support after a wave 1 breakout and a correctional wave 2 if you take the Elliot Wave theory into account:
If the correction/wave 2 is done and .0002700 satoshis level is the current/new support level, then we might see STEEM make a wave 3 or another move up again soon.
So if you think STEEM is going to make another move up, then this is how you can trade it for a daytrade or a short-term swing trade.
Trade Instructions STEEM/BTC (Binance):
Buy Zone:
.0002700 - .0002850
Profit Targets:
1. .0002998
2. .0003195
3. .0003382
4. .0003552
Stop Loss:
.0002595
Leave a comment if you have any questions.
And until next time, good luck with your trading!
The MACD was also in a long consolidation period and wedge as well, STEEM had to break out one way or the other. And since it has already retraced significantly, the breakout would more likely be up then down.
Well, we don't have to guess or wait any longer cause the awaited breakout in STEEM has just occurred! But what's next for STEEM now it has just broken out in the short term? Let's take a look.
If we take a look from the start of the breakout and the retracement that followed, STEEM bounced nicely off its 12 ema around .0002700 satoshis, which was a previous resistance level as well. So old resistance becomes new support.
Also the bounced was between the 0.500 and 0.618 fib. level. These fib. levels are usually good levels for a bounce or support after a wave 1 breakout and a correctional wave 2 if you take the Elliot Wave theory into account:
If the correction/wave 2 is done and .0002700 satoshis level is the current/new support level, then we might see STEEM make a wave 3 or another move up again soon.
So if you think STEEM is going to make another move up, then this is how you can trade it for a daytrade or a short-term swing trade.
Trade Instructions STEEM/BTC (Binance):
Buy Zone:
.0002700 - .0002850
Profit Targets:
1. .0002998
2. .0003195
3. .0003382
4. .0003552
Stop Loss:
.0002595
Leave a comment if you have any questions.
And until next time, good luck with your trading!
Trade closed: stop reached