I was bearish on LUNA about a week ago. Today, I see a chance for entry based on Fibonacci. The 0.5 Fib line is my stop loss and the 2.0 Fib line is my target, based on the recent rise. This gives about 58% potential gain to 15% potential loss.
What caused my sentiment shift from bearish to bullish? Two factors:
1. Today's bullish candle. This could be dismissed because many altcoins are up today. However, LUNA is supposed to be weak, yet it has gone up more than most altcoins today.
2. The obvious support on the drawn trend line.
However, it is not the most obvious trade and not the safest to me for the following reasons:
1. RSI divergence is still in place and that that is a bearish indicator.
2. I haven't tested this Fib-based trade. I'm confident about the stop loss, but not confident about the 2.0 Fib target.
If you want my latest updated chart on LUNA/BTC, you can view it here.
If you appreciate this work, please give a like.
What caused my sentiment shift from bearish to bullish? Two factors:
1. Today's bullish candle. This could be dismissed because many altcoins are up today. However, LUNA is supposed to be weak, yet it has gone up more than most altcoins today.
2. The obvious support on the drawn trend line.
However, it is not the most obvious trade and not the safest to me for the following reasons:
1. RSI divergence is still in place and that that is a bearish indicator.
2. I haven't tested this Fib-based trade. I'm confident about the stop loss, but not confident about the 2.0 Fib target.
If you want my latest updated chart on LUNA/BTC, you can view it here.
If you appreciate this work, please give a like.
