OMG / BTC technical analysis [BINANCE]

By MrBullishSail | TA crypto market | 9 Oct 2019


OMG saw from the temporality of 1W we can see how the price has fallen more than 400% since April this year, now the RSI indicator has formed a double floor within the descending wedge and with a view to increasing, this is a sign of a close change of trend, however, the structure of candles, for now, continues to be bearish, we can see in the graph above delimited by the 2 small diagonals dark blue, the price has found demand in the horizontal dark blue located at 0.0000983, the closing of the previous candle has been bullish, however, as long as the price does not exceed the resistance located at 0.0001188 we will not see a short term bullish momentum, the current candle is too young to determine its closing, but if it does not manage to exceed the level mentioned above, the price could fall in search of greater demand at lower levels, the first zone of demand is indicated by the dark blue horizontal located at 0.0000983, the second zone of demand located at 0.0000876, and the third zone of demand is located at 0.0000631.

OMG seen from the temporality of 1D we can observe more closely the current movement of candles, as we see the diagonal resistance of the figure is rejecting the price, if the current candle closes in this way, would be confirming a reversal in the movement, however, the price could find demand in the weekly demand zone and form an HL that increases the odds of a possible break in resistance, the price must also close above the resistance in horizontal located at 0.0001188 and confirm it as a floor so that we can go in search of the level of supply located at 0.0001358, if this scenario takes place in the next few days it is very possible that the price will continue to rise and we can go in search of the first target located within the price range of 0.0001515 – 0.0001637, the second target is located within the price range of 0.0002310 – 0.0002546.

In conclusion, OMG has fallen back quite a bit in these years, which could indicate that it could soon have a recovery, however, we first need a reversal pattern and exceed the area of supply indicated in the chart to have greater probabilities to go long to medium term, for now the structure of candles does not look at all bullish, Therefore, we should wait for the price reaction when reaching the weekly demand zones and look for the best entry, for this I recommend to be very attentive to the action of the price in 1D, always remember to use stop loss in your operations that will always help you in case of possible invalidations during the movement.

As I always say, you have to be aware of the movement, invalidations can occur, there is no 100% reliable analysis, take your own precautions when trading.

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MrBullishSail
MrBullishSail

Technical Market Analyst Crypto trader Website: https://www.buymeacoffee.com/XCdmEAZnD Twitter: https://twitter.com/armijogarcia


TA crypto market
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