Today we have Komodo! Great project here. Their BarterDEX is gaining momentum and soon we will see some dICOs (decentralized ICOs) hit their platform, which is why we are keeping our eyes peeled to KMD! So let's get started.
Komodo is in a descending pattern with breakout potential between 122% and 420%. Yes, major discrepancy, but we will explain.
First, notice we have 3 descending on our 1D chart. The first two have broken out and hit a resistance at our 0.786 fib line (0.0008btc). We are now on number 3 and we have not broken out ...yet. There are 3 indicators that need to flash "buy" before we have our breakout. We will look back on the first 2 to explain. So, looking at #3...
1) Crossing (not yet)- We have a yellow circle on #3 highlighting where we might see our 50 and 200 EMAs crossing, which will usually result in a quick downswing...but for us we see it as opportunity! You can see in #2 the breakout happened afterwards and in #1 it was too early for 200EMA.
2) Peaks after a period of low (not yet) - Here we are looking great and is descending as expected. This is seen with our black arrow on the chart. Our indicator looks great as well and has started to turn a little, meaning momentum "might" be starting. We sometimes see the turn before starts, so be on the lookout for that. peaked on both #1 and #2 before the breakout. Also note the here.
3) Upper Resistance Breaking (not yet) - This will be the 3rd indicator we want to see before we buy. Usually the first two indicators ( , ) are both supporting the trend by this point. The upper blue line needs to break before it signals a breakout.
Currently, we see two potentials, The conservative trade would happen during a breakout when price is at 0.0003btc and a potential sell (based on trend based fib lines) at 0.00065btc. If you are more aggressive and buy a dip that usually precedes a breakout AND we revisit ATHs (very possible with BarterDEX and dICOs coming soon) then a visit to 0.001btc levels is possible, which would yield 420% returns.
This is DA, we hope you like our material. Comment below if you want us to highlight any tokens you have an eye on.
- DA Bull
As always - DYOR
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