OMGBTC (OMISEGO Token) Ready, Set…………..!OMGBTC (OMISEGO Token) 05/26/18, 8:15 PM EST, by Mike Mansfield
Good evening, trader friends! Thanks for stopping by. No, no, no, I am not here to wrangle a thumbs up from you on this one. However, if you just love any of the other forecasts, feel free to like away! ;-)
OMISEGO sounds a bit like what “oh my gosh” would be in another language.
Perhaps you can relate to the following statement: "Sometimes I literally “know” what an outcome of a chart will be with a high degree of clarity, probability, and ultimately accuracy." However, this is not one of those times. I can rationally make the case for several outcomes. That is not something I love….but since someone asked for this, I’ll map out the 3 patterns and their likely paths and change of trend times and price areas to watch for.
BOTTOM LINE: UG! We have patterns within patterns, but the cycles look good!
Pattern-1 is long-term neutral:
Large triangle wedge pattern (lime green and dark red lines) may be forming. If correct, it is unfinished and will have at least one, possibly two, more legs down toward the red long-term support trend trend-line, before we can say for sure if the pattern will resolve to the upside and moonshot, or tank into crypto oblivion.
Pattern-2 is medium-term bearish. Maybe:
Bearish rising wedge (cyan blue trend-lines) lines are converging in an upward direction. But it’s not super perfect pattern, as they sometimes look. Rising wedges typically resolves to the downside in a significant way. Moreover, OMG broke the lower support line at the recent May 23 low, which likely means eventually lower prices.
Pattern-3 is short-term bullish:
Falling wedge (yellow downward trend-lines) is short-term bullish and no matter what,
a cyclical bounce is due now based on the two quite accurate cycles thus far.
CYCLES:
Two nicely aligning cycles lows are nesting now (making a low). OMG should have a tradable rally to the green downtrend line.
Green cycle moving up and due to peak June 18,
Green cycle bottoms again July 15th.
Pink cycle is also moving up. Both the pink and green cycle are both due to top around August 10 also, =/- 2 days.
INDICATORS:
Klinger Volume Force is in a wedge. It also supports the idea that the eventual breakout, up or down, should be big.
MACD is rounding in line with cycle lows due any day now.
SUMMARY:
Short-term pattern and cyclical are bullish for a bounce, or more, perhaps until mid June.
Then, another selloff back to the lower cyan support trend-line, in alignment with the cycle low of the shorter-term green cycle, while the larger pink cycle is
moving up.
OMG with then either breakout the upside in line with the pink cycle moving up until about August 10th, while the pink longer-term cycle is also moving up and
blast off.
If the breakout does not happen by the peak of the Pink cycle (Aug 10th), then OMG is very bearish, and the bigger triangle/wedge will likely end badly for OMG.
If OMG breaks out to the upside between now and June 18th, then it might retest the breakout line or pullback around July 15th then have a cyclical peak
August 10th +/- 2 days.
POTENTIAL TRADE:
Consider looking for a short-term cyclical long trade. Lower risk area could be at the first higher swing low once a 34-50 bar EMA
average (or something better) turns up and price is also closing above the average. If The trade doesn't move nicely after the first or second pullback on a 240 minute chart, then the outlooks would be quite bearish short-term and long-term.
DISCLOSURE:
This analysis is meant for educational purposes only. You trade at your own risk!
Cheers!
Michael Mansfield CIO
