NEO, EOS, LTC, Monero, Lumens: Technical Analysis March 14, 2018
While there is an obvious slide of altcoins prices, there is hope for EOS, LTC and NEO. Technically, these charts are hinting of possible price appreciation with series of higher highs at lower time frames happening at key support lines.
NEO prices looks interesting and not only are sellers testing the main support line in the weekly chart but a buy signal in the daily chart and rejection of lower lows in the 4HR chart may mean a lift off past $90. On the flip side though, sellers can further erode prices and drive NEO to $55.
Let’s have a look at these charts:
XLM/USD (Stellar Lumens)
Besides the strong bear Lumens trajectory, there is nothing much that can be said when it comes to price volatility. Fact is, since March 9 pin bar, prices have been slow and moving within that candlestick with no clear cut gains.
From a positive perspective, the middle BB at $0.30 is our logical resistance line. While Lumens prices are $0.02 from our key support line at $0.30, the rate of depreciation hasn’t been that rapid to warrant a bearish break out and consequent sells.
In my view, prices can still go two ways. Either buyers feed the already bullish momentum or sellers continue with their drive towards $0.20.
The odds of the latter happening remain high and as long as prices trend below the middle BB and $0.30, bulls are subdued.
From the charts, $250 remains pivotal for our analysis. It’s a key line that can either make or break Monero prices in the short to medium term and as it is, yesterday, there was a break below this key support line.
Even from a top down approach, sellers appear to be in charge and in the weekly chart not only are prices confirming last week’s bear pressure but are now below the 20 period MA.
However, before we go head first and sell, it’s imperative that today’s candlestick confirms that view. I would like to see prices breaking past $230 or February 12 accumulation and that’s when I will be recommending shorts on any pull back towards $250.
Admittedly, altcoins prices and those of EOS in particular have been in accumulation. Honestly, that’s quite boring for traders who benefit from rapid price fluctuations. Like yesterday’s view, our bullish overview is still intact. As long as sellers cannot push prices below March 9 lows of $5, then odds of a bullish comeback are high.
Besides, as per our hint, these side-way movements and higher highs relative to the lower BB can be positive for buyers. However, that is only valid if there is a push above $6.5 in line with the already bullish stochastic momentum.
That’s my expectation today and if that happens, then on March 15, buyers can buy on dips with stops at $5.
Generally, trading this coin has been tricky considering LTC prices have been ranging over the last couple of days. Well, even after yesterday’s bearish candlestick, a clear stochastics buy signal is visible at the secondary chart.
Now, here is my view and trade plan for LTC.
First, we shall use March 9 high lows at $190 and $155 as our immediate resistance and support since prices have been moving along $180. It is not that reliable and $180 looks like a median price. If there is a break below $155 today, then we shall cancel our bullish forecast.
On the contrary, if buyers follow through and momentum increase leading to a break above $190, then buyers can think of going long. Otherwise, I know it gets boring but we are still neutral on this pair.
Now, even though it’s clear that NEO prices are trickling lower, I cannot suggest shorting this pair. The time is not ripe and you might ask why.
Well, in the weekly chart prices are at the periphery and testing the main support-the middle BB. In the daily chart, sellers seem to be on the lead yes but somehow stochastics are at the oversold territory with a buy signal.
These are conflicting set of data and patience is an asset now. In my view, there is a high probability of prices bouncing back and closing above $90 than further price erosion towards $55.
It is for this sole reason that I’m neutral but ready to hop in and recommend longs our first condition happens.
All BitFinex, Bittrex and CoinBase charts courtesy of Trading View