Elliott Wave Analysis: OMGUSD In A Correction Before HigherHello traders!
Today we will talk about OmiseGO (OMGUSD) and its price action + wave structure from Elliott Wave perspective.
Some cryptocurrencies were in a massive and impulsive rise since March and one of them is also OMGUSD, in which we clearly see a five-wave bullish cycle into wave A/1 on the weekly chart. We know that after every five waves, a three-wave pullback follows, so an a-b-c correction in wave B/2 could be already in progress, which can send the price ideally back to 50%-61,8% Fibo. retracement before the uptrend for wave C/3 resumes.
If we take a look on a daily chart, we can see five-wave fall from the highs labeled as the first leg "a", so current recovery can be only temporarily, as part of a lower degree three-wave (a)-(b)-(c) corrective rise in wave "b" with ideal resistance around 5.0 - 7.0 area, from where we should be aware of another sell-off for wave "c" to complete a higher degree wave B/2. And ideal strong support, where bulls may show up again, would be around the previous wave "iv" swing low and 1.5 support area.
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Omisego
OmiseGo Full Chart Analysis + AlanMasters TOP Signals DetailedOmiseGo (OMG) Overview
OmiseGO (OMG) is a public Ethereum-based financial technology for use in mainstream digital wallets. OmiseGo enables real-time, peer-to-peer value exchange and payment services agnostically across jurisdictions and organizational silos, and across both fiat money and decentralized currencies. Designed to enable financial inclusion and disrupt existing institutions, access will be made available to everyone via the OmiseGO network and digital wallet framework.Omise, which serves business customers in Japan, Thailand and Indonesia, currently operates an ecommerce platform that lets companies take payments from customers online. It has a full-featured white label payment management platform for these businesses. With OmiseGO, and the OMG token, Omise aims to simplify the barriers to payments by removing the need to own a bank account.
OmiseGo (OMGBTC) Chart Analysis
Here we are looking at the chart for OmiseGo (OMGBTC) on Binance. We are going to be looking at it from late 2018 until today and focus on the main signals that I look for to find out bottomed out altcoins, or in a potential reversal zone.
It is all pretty simple and easy, and we use the same signals almost always as they work pretty well in general, but we also know about chart patterns, candlestick reading, price action, and so much more...
Bullish divergence on the MACD (purple arrow). Notice the price of OMGBTC going lower. Now look at the MACD (the first indicator below the chart) and notice the price moving up... That's it, bullish divergence.
MACD Bullish crossover (green circle). On the same indicator, the MACD, notice how the MACD (blue line) crosses up the Signal (orange line), I call this bullish crossover... Most likely it has another name in the books but this one easily gets the message across.
RSI hit oversold and is trending up. The last indicator at the bottom is the RSI. When it goes below 25 we call this "oversold". This is a buy signal on its own.
Low volume. Volume is still low, this is a bearish signal. You want to see above-average volume when you see a bounce of this type... But this can also mean that volume will come up later and that there is still lots of room left for growth.
Break above EMA10. We use EMA10 (green line) as the main resistance/support (depending on where it is sitting compared to the price action). Below EMA10 = Bearish. Above EMA10 = Bullish.
These are some of the basics, you will see these over and over and over. I came up with these by looking at the charts for hours and seeing how the candles and indicators behave, then practiced to see if I made the right conclusions... I made it all up.
In another trade idea, we can take a look at candlestick reading which we also use commonly.
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Namaste.
OmiseGO (OMG) Pumps 8% on Plasma Protocol Alpha ReleaseThe alpha release of OmiseGO’s (OMG) Plasma MoreVP (More Viable Plasma), a second-layer scaling solution, has officially launched on the public Ethereum (ETH) network, sending the altcoin up over 8% Saturday.
