Litecoin (LTC) - Consolidating before a breakout
This is my first published analysis. I have been learning from others on here, who have been most helpful in teaching TA. I am definitely not an expert, but want to share the ideas I am developing.
- Price is clearly consolidating. It looks like a symmetrical triangle is forming.
- Volume is dropping
Based on the MACD trajectory, it looks like it may be another few days at most before the breakout occurs, but that is based on the MACD reaching the bottom of the line. It may occur considerably sooner.
I think it will be a bullish breakout, based on the most recent trends, but we will need to wait to see which side of the triangle we cross first and sustain at. One thing I have learned is being conservative with trading breakouts... As others have said, it is better to miss out on potential profit by getting in once a breakout is confirmed, instead of losing money by investing before there is sufficient evidence of a breakout.
This is for the LTC / USDT pair, and as mentioned above I believe the breakout will be bullish. However, looking at the LTC / BTC pair, that has had a downward trend. The hope would be that a positive breakout occurs, and this reverses the LTC / BTC trend, and makes this trade advantageous compared to just holding on to BTC.
Good luck out there!
NONE OF THIS IS INVESTMENT OR FINANCIAL ADVICE!
- Price is clearly consolidating. It looks like a symmetrical triangle is forming.
- Volume is dropping
Based on the MACD trajectory, it looks like it may be another few days at most before the breakout occurs, but that is based on the MACD reaching the bottom of the line. It may occur considerably sooner.
I think it will be a bullish breakout, based on the most recent trends, but we will need to wait to see which side of the triangle we cross first and sustain at. One thing I have learned is being conservative with trading breakouts... As others have said, it is better to miss out on potential profit by getting in once a breakout is confirmed, instead of losing money by investing before there is sufficient evidence of a breakout.
This is for the LTC / USDT pair, and as mentioned above I believe the breakout will be bullish. However, looking at the LTC / BTC pair, that has had a downward trend. The hope would be that a positive breakout occurs, and this reverses the LTC / BTC trend, and makes this trade advantageous compared to just holding on to BTC.
Good luck out there!
NONE OF THIS IS INVESTMENT OR FINANCIAL ADVICE!
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