Dear all, its been a few days since my last post on LTC (Litecoin is at an inflection point! Mar. 30) and I want to update based on current price action. Frankly I am not convinced that the recent run up is the start of a trend reversal just yet. For context please note that you are looking at candlesticks, each representing one day in a chart whose scope is just over 2 months. From the chart we can see 4 (highlighted by yellow ellipticals) instances where Fibonacci levels served as support; but were subsequently broken to the downside, and one (the latest) which has served as resistance. I am concerned we will break below 106 and am not sure if this will happen.
In my post a few days ago I said I was entering with a view to selling at the levels LTC is at now and thus I think it is a sell now. As noted in the chart we must see an extension past the .786 currently serving as resistance per the fifth yellow elliptical. Volume on any such move will also be important because per 4 downward sloping magenta lines at the bottom of the chart we have seen decreases in volume leading to decreases in price and I'm concerned this pattern may repeat itself.
Even if we extend past the .786 we could still be below the 200 day moving average. Within the current levels as long as we don't dip below 106 an argument can be made for being neutral. If you find this info useful please give this post a thumbs up. Lastly I want to emphasize the importance of studying contrarian views to your own. If you are long any given coin study short opinions and vice-versa, also be flexible and willing to change your mind, be like water.
In my post a few days ago I said I was entering with a view to selling at the levels LTC is at now and thus I think it is a sell now. As noted in the chart we must see an extension past the .786 currently serving as resistance per the fifth yellow elliptical. Volume on any such move will also be important because per 4 downward sloping magenta lines at the bottom of the chart we have seen decreases in volume leading to decreases in price and I'm concerned this pattern may repeat itself.
Even if we extend past the .786 we could still be below the 200 day moving average. Within the current levels as long as we don't dip below 106 an argument can be made for being neutral. If you find this info useful please give this post a thumbs up. Lastly I want to emphasize the importance of studying contrarian views to your own. If you are long any given coin study short opinions and vice-versa, also be flexible and willing to change your mind, be like water.