Monero bullish scenario
Updated
Pro Bullish movement:
1) Money flow is rising.
2) It formed a nice flag. When the breakout occurs, potential profit is 96% from the breakout point. (calculated by taking the height of the flagpole from the point it broke above major prior resistance. Prior resistance would be the blue line.)
3) The volume during the lifetime of the flag has been decreasing. Textbook!
4) Duration of the flag so far has been 37 days. In the crypto world that is plenty!
5) Daily stoch RSI is oversold
6) There is a bit of negative divergence on the 1 day MACD. Prices put in higher lows while the MACD is putting lower lows.
7) The price has been consolidating on strong support level(.618 fib. ret. line)
8) A-B-C correction seems to be done, with C the longest formed by 5 impulsive waves.
Enter trade if:
1) Three 1 day bearish candles trade inside the body of the bigger green candle.
By then the 4 hour stoch RSI should drop to oversold as well.
2) The 1 day RSI starts pointing up
3) If these 2 points happen, the 1 day MACD will cross. This would be a bullish sign because it will cross on a lower point than all the low points it has reached in the last year.
4) Needs to break the upper bound of the flag on strong volume.
Disclaimer:
I am not a financial advisor and this is not financial advise. When you enter a trade you should do it based on your own reasoning. Never trade with more money than you are willing to lose!
HAPPY TRADING!
1) Money flow is rising.
2) It formed a nice flag. When the breakout occurs, potential profit is 96% from the breakout point. (calculated by taking the height of the flagpole from the point it broke above major prior resistance. Prior resistance would be the blue line.)
3) The volume during the lifetime of the flag has been decreasing. Textbook!
4) Duration of the flag so far has been 37 days. In the crypto world that is plenty!
5) Daily stoch RSI is oversold
6) There is a bit of negative divergence on the 1 day MACD. Prices put in higher lows while the MACD is putting lower lows.
7) The price has been consolidating on strong support level(.618 fib. ret. line)
8) A-B-C correction seems to be done, with C the longest formed by 5 impulsive waves.
Enter trade if:
1) Three 1 day bearish candles trade inside the body of the bigger green candle.
By then the 4 hour stoch RSI should drop to oversold as well.
2) The 1 day RSI starts pointing up
3) If these 2 points happen, the 1 day MACD will cross. This would be a bullish sign because it will cross on a lower point than all the low points it has reached in the last year.
4) Needs to break the upper bound of the flag on strong volume.
Disclaimer:
I am not a financial advisor and this is not financial advise. When you enter a trade you should do it based on your own reasoning. Never trade with more money than you are willing to lose!
HAPPY TRADING!
Note
Constructive criticism is always welcomed!Note
The 3 red candles traded inside the body of the green one, as predicted.Unfortunately it does not seems like it has the power to break out quite yet.
Right now, the most probable scenario is that the breakout will occur closer to the apex, which happens to coincide with the blue line.
Disclaimer
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