MCO, Trends to look for
MCO is ripe with extremely volatile days and incredible wicks up and down. This volatility punishes those who are too eager to jump on a macro play. However, there are some clear signs that increase your odds.
When to buy: MCO can rip and rip and rip to the upside, but historically hits back at the 21 day EMA for excellent long opportunities. The current overall trend of this token is down (because it is new to the market and has lived through crypto winter). Placing your self long in this token, historically has been very painful, but those who take the risk on this may see large upside swings. Remember not to fomo this coin and buy at the 21 EMA after a massive pump.
A second opportunity has presented itself with bullish divergence on the RSI. There is a high likely hood that the down trend is ending when the RSI moves from an extreme low, to a higher low, while the price action moves from a low to an even lower low.
When to sell: Watch for extreme conditions where the price action moves a high percentage above the 21 EMA. This is a high risk zone that should not be bought, but potentially sold.
A second sell signal is when we see bearish divergence. This is when the price hits a high and then an even higher high, while the RSI moves from an extreme high to a lower high.
Remember there are no certainties in markets. As seen between Feb and April, there is a bearish divergence. This is a strong sell signal that was very wrong.
When to buy: MCO can rip and rip and rip to the upside, but historically hits back at the 21 day EMA for excellent long opportunities. The current overall trend of this token is down (because it is new to the market and has lived through crypto winter). Placing your self long in this token, historically has been very painful, but those who take the risk on this may see large upside swings. Remember not to fomo this coin and buy at the 21 EMA after a massive pump.
A second opportunity has presented itself with bullish divergence on the RSI. There is a high likely hood that the down trend is ending when the RSI moves from an extreme low, to a higher low, while the price action moves from a low to an even lower low.
When to sell: Watch for extreme conditions where the price action moves a high percentage above the 21 EMA. This is a high risk zone that should not be bought, but potentially sold.
A second sell signal is when we see bearish divergence. This is when the price hits a high and then an even higher high, while the RSI moves from an extreme high to a lower high.
Remember there are no certainties in markets. As seen between Feb and April, there is a bearish divergence. This is a strong sell signal that was very wrong.
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