Today i'm going to be looking at some Altcoins to trade for a longer time period. This is a risky business, but where there is risk there is also reward!
Risk can be managed however with the right knowledge, knowledge that most people don't have when they first get into crypto. I am guilty of HODL too, i was there in 2017, i watched my bag of altcoins go to the moon and then crash back down to earth soo hard they broke the surface and ended up in the watertable somewhere haha.
The good news is that they seem to be resurfacing so i am going to look at some of them to see if they can be traded.
The first coin on my list is ETC.
ETC is in a spot where a potential big breakout could occur. The green box used to be a big level of support, if this gets broken out of, then i would put my money on it that the next level would be the orange box. Thats a potential 2X. Lets dive in closer.....
I really like this Daily chart. All the Moving averages are in the correct order for upwards movement now and it is respecting the 13 EMA which is highly bullish. The RSI is creating a bull flag, as u can see it is moving downwards but the price is moving up and sideways. So it is currently in consolidation. I like the look of this one!! Going to find an entry on smaller time frames.
Well that was lucky.... Just as i started looking at this coin it is starting to break the Ascending triangle. The RSI and MFI are heading north, and the MACD has just crossed the 0 line. I will enter my trade here with a stop loss just below the green line which is the 21 EMA on the Daily as well as the wicks on the larger candles. My entry is $12, Stop loss at $10.60 and my exit will be around the $20 mark.
Verge, this coin made me rich in 2017 and poor in 2018 haha if only i had taken those profits.......
So this is a cool chart, there was a descending wedge pattern which broke out, however the follow through was weak but the trend line was respected/backtested. There is obviously heavy resistance overhead at the first red line, you can see how this level is highly respected first as support now as resistance.
A falling wedge pattern when broken out of normally sees price come back up to the top of the wedge. So a target for this coin would be that orange box which is a big area of confluence.
Another note is that the 13 and 21 EMAs are converging (getting closer) and possibly looking to cross back into bull mode. Lets go closer.
Interesting.... The RSI is moving upwards steadily, the MFI is redlined at the top and MACD is looking abit tired. The Moving Averages are all trying to cross over the 200MA (white line) which is the "golden cross". I have marked a green line one the 13EMA which is at a nice area of support. This will be my entry point and my stop loss will be below the 200MA
I will place a couple of buy orders within the green box, one at the 13 and one at the 21 Daily EMAs. My stop loss will be below the 200MA and my target for profits will be the big orange box. Another 2X or more is very likely on this trade.
These are just 2 of the Shi..... i mean Altcoins i am looking at for longer term trades, I have a little basket of others i am already in. But i really like what i am seeing in this market, green days ahead hopefully. Will 2021 be a repeat of 2017???
I am happy to look at other coins, just leave a comment below.