LTC/USD After a fork, looking bearish
Updated
Position: Leaning Bearish.
Not as many Bearish indicators on LTC as there are on ETH. But enough to make me think this is going down. Perhaps one of the biggest reasons LTC will go down is it will be dragged down by ETH and BTC. ETH has a solid reversal set up to drive it down further. If LTC dips, I REALLY like the set up we have here. I will go into that at the end.
Bear indicators:
1. MACD averages crossing down, but... still in positive territory.
2. RSI is in oversold territory and broken it's trendline to the downside.
3. It's consolidating - You could argue it's consolidating to move up, or down. I would lean more towards the bulls are temporarily out of steam after a fast high volume run up.
For all of this to be confirmed, we need a break of that $205-210 support level. It might channel a bit before it does, but we'll have to see.
I will be a strong buyer at the 160 area and an even stronger buyer just above $110 if it gets there. If it keeps going up, no big deal. Made some money with this run up and the fork and will wait for another opportunity to present itself.
Buy level 1 at the 160 area: Has nice support and a FIB point.
Buy level 2 at the 110 area is a major bottom.
Happy Trading
-Sherem
Not as many Bearish indicators on LTC as there are on ETH. But enough to make me think this is going down. Perhaps one of the biggest reasons LTC will go down is it will be dragged down by ETH and BTC. ETH has a solid reversal set up to drive it down further. If LTC dips, I REALLY like the set up we have here. I will go into that at the end.
Bear indicators:
1. MACD averages crossing down, but... still in positive territory.
2. RSI is in oversold territory and broken it's trendline to the downside.
3. It's consolidating - You could argue it's consolidating to move up, or down. I would lean more towards the bulls are temporarily out of steam after a fast high volume run up.
For all of this to be confirmed, we need a break of that $205-210 support level. It might channel a bit before it does, but we'll have to see.
I will be a strong buyer at the 160 area and an even stronger buyer just above $110 if it gets there. If it keeps going up, no big deal. Made some money with this run up and the fork and will wait for another opportunity to present itself.
Buy level 1 at the 160 area: Has nice support and a FIB point.
Buy level 2 at the 110 area is a major bottom.
Happy Trading
-Sherem
Note
Breaking up, if we get a solid push and close above this level, expect it to push higher.Note
LTC failed to have any kind of continuation above the channel. My original call still might hold true. I would think any sideways movement would only strengthen this position of a downward push. (maybe a head and shoulder would form?) Need a break of this 200 level to confirm a move down to the 170 area
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