Time to Buy ETC?
Updated
We are about to hit a crucial support point for ETC. If we can get a bounce followed by some decent volume, I will be placing trades. We are still in an uptrend which has not been broken yet. So far, we have touched this support 3-4 times, and had significant bounces. The 4 hour time frame shows oversold conditions with the RSI, and the last time this happened we had a big move to the upside. Keep your eye on ETC over the next day or so! If we turn bullish, my target is around the 0.382 Fibonacci Retracement level, and higher. In the long term, I could see this re testing ATH's, unless the trend is broken.
Note
ETC couldn't find any support on the trend line unfortunately, So I stepped back and didn't enter any trades on this one!
However, not all is lost as we have another point of support that could possibly bounce ETC back up. Technically, we are still in an uptrend until this low is taken out. We are becoming even more oversold on the RSI , so by probability a bounce is impending. If this bounce starts to get back above the trendline , I will think about scaling in some trades. Green volume also needs to pick up to confirm a reversal.
This is a risky trade and I will only enter small positions with stop losses set below the red dotted line.
Note
We got a fairly good bounce from ETC above the red dotted support line. However, we have now hit the trend line as resistance so what we really want to see is a break through this point with an increase in volume . Volume is not essential, but it gives us a more confidence that the bulls have gained control.
If we get a good breakout, I will start scaling in positions. This is a high risk trade and I am not a financial advisor.
Note
New post for ETC:
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