Updated
DGB Trading Scenario
Hello,
Third charts of the day, and this time it’s for Digibyte (DGB).
Similarly to most altcoins, DGB/BTC took an important (but waited and quite due) correction after going from 20 in March to its all time high at 2600 in June (130x growth). Today DGB/BTC trades around 520 which represents 80% in retracement.
But with BTC coming back on its feet and with the current chart setup of Digibyte, good opportunity of trading could come.
Indeed, on the chart you could see that DGB/BTC is inside a descending broadening wedge (black line) which is a bullish pattern because it tends to break upward.
DGB is also inside a small triangle (the orange one) and a bigger triangle (between the bottom orange line and the top black line). The orange triangle should resolve today or tomorrow. If it break upward, we will likely have a stop at 600 and maybe test the black top line of the wedge. If the wedge breaks up we may have a good upward movement to test small resistances on the way (635, 710, 740, 794) before going to 900 where a fib resistance remains.
But if the wedge breaks downward we will see a down movement to 430, and then 367 and 294.
On the indicators side, the mix of OBV, ADX/DMI, RSI , Volume Zone and MacD didn’t give a strong buy signal because they don’t concord at the same time. One normal signal was given at 383 one month ago and another small one two day ago at 520 (where we stand at the moment).
In conclusion, It may be a good time to buy some cheap DGB when the orange triangle breaks upward for a safer buy.
Third charts of the day, and this time it’s for Digibyte (DGB).
Similarly to most altcoins, DGB/BTC took an important (but waited and quite due) correction after going from 20 in March to its all time high at 2600 in June (130x growth). Today DGB/BTC trades around 520 which represents 80% in retracement.
But with BTC coming back on its feet and with the current chart setup of Digibyte, good opportunity of trading could come.
Indeed, on the chart you could see that DGB/BTC is inside a descending broadening wedge (black line) which is a bullish pattern because it tends to break upward.
DGB is also inside a small triangle (the orange one) and a bigger triangle (between the bottom orange line and the top black line). The orange triangle should resolve today or tomorrow. If it break upward, we will likely have a stop at 600 and maybe test the black top line of the wedge. If the wedge breaks up we may have a good upward movement to test small resistances on the way (635, 710, 740, 794) before going to 900 where a fib resistance remains.
But if the wedge breaks downward we will see a down movement to 430, and then 367 and 294.
On the indicators side, the mix of OBV, ADX/DMI, RSI , Volume Zone and MacD didn’t give a strong buy signal because they don’t concord at the same time. One normal signal was given at 383 one month ago and another small one two day ago at 520 (where we stand at the moment).
In conclusion, It may be a good time to buy some cheap DGB when the orange triangle breaks upward for a safer buy.
Note
The previous short term triangle broke down and now we are at a support level (blue line) around 420-430 dating from june where the price bounced several time before. Therefore another descending triangle between this support and the top black line of the descending wedge has formed. it should resolve before the end of August.
The target in term of break up or break down stay the same as stated before.
Moreover, a strong signal buy seems to be building soon as you can see on my indicators. Stay tuned I will keep you posted.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.