Of the 5 altcoins under our focus, I will recommend Lumens and EOS buys considering latest price action development.
Yes, there is some minor recovery in LTC but like before we need strong confirmations for assurance and that may mean prices surging above $225 before we think of going long.
Same trade plan applies to NEO where in the 4HR chart buyers are rejecting lower lows.
Let’s have a look at these charts:
In the 4HR chart, there were two levels that could influence our short term projections.
Of course, the first is that intermediate support line at $0.30 and secondly, the main resistance trend line and the generally, how prices would close relative to that descending wedge in the 4HR chart.
Like before, and referring to our previous analysis, $0.30 remains a key line. We can see how prices are reacting at that level and with every higher highs, it looks likely that our long triggers at $0.40 might be hit.
That is exactly what we need and should that happen, then we should fine tune entries on Tuesday, February 6 and look to buy on dips say on the 1HR chart or anywhere around $0.35 and $0.38-the retest level.
From a technical perspective, we cannot deduce much from IOTA.
Like March 3 price action, prices are still moving along the middle BB and we can see how this flat momentum is doing to the BB.
Notice that as IOTA’s net movement continue to fluctuate around zero over the past few days or so, the upper and lower BB are dropping and seems to be forming a squeeze.
As history shows, any squeeze that forms means there is an accumulation in progress and at any time, there can be a break out in either direction.
We have seen this happening over and over again. In my view, I really think that buyers can pick up IOTA at these low prices and aim for short term targets of $2.2 to $3.
I mean look at price action. IOTA prices are actually 70% down from previous highs. In a nutshell, the correction has been deep and odds of recovery are high and that is why my skew remains bullish in the short to medium term.
If we zoom in to the 4HR chart, there are some pretty exciting price action formations that are supportive of buyers.
However, we have to remember that our main support anchor lies at $7 but going long or remaining neutral as before will largely depend on how EOS bulls act today.
After all, we are trading within a larger bullish break out pattern in the 4HR chart. In my view, positional traders will have to wait and see if buyers close higher today.
If they do and there is a follow through on March 6, then they can begin looking for long entries with every retest of the middle BB at around $9 in the 4HR chart.
Currently, we have series of higher highs after periods of consolidation in the 4HR chart and I recommend buys but with tight stop just below $7.5.
Prices are actually tight in the daily chart and we cannot actually say much about LTC price movements.
Besides the waving of prices in the 4HR chart, there are no substantial price movements below the middle BB at around $200 or any sharp spikes above $225 according to our previous trade plan.
So, for clarity, we can have a clearer picture of price movement in the 4HR chart.
Here we recognize that prices are actually moving within a wedge with strong support at that minor support trend line. Now, here is the deal.
For LTC buyers to be in charge then I want to see a strong break out and close above $225 in the coming sessions. If not and sellers resume their bear pressure then our main support at around $180 could soon be a reality.
A quick glance at the 4HR chart and its evident that NEO prices are all over the map but with a double bar reversal pattern near the support trend line clear in the daily chart.
In my view I will only recommend long or shorts when I see prices trending above $140 or below $100. Before then, I will remain neutral.
All Bitfinex, Bittrex and CoinBase charts courtesy of Trading View
Coins image via Pixabay.