The Wolf Den #27 - Markets, Bitcoin, Chart Requests, $FUN
New Trades
I am presently in COTI, which is in the chart requests. I am also watching the MANA setup in the requests. Otherwise, I am buying FUN here.
FUN/BTC
I like FUN at the bottom of this trading range and above the ascending line. Very simple, I am targeting the dashed center line of the range (EQ) around 43.
Bitcoin Analysis
Nailed it. THE ONE LINE at $9,090 is the exact spot that we were expecting resistance on a move up. Here we are. Now it's anyone's guess what will happen. This is a high R/R SHORT for scalpers. I am NOT saying that price will drop - I just think the risk reward is good for a short in this area with a tight stop, in case price does continue down. If it goes up, great. Then you can long a retest of $9,090 as support.
Here is the really sloppy chart. Price is working on a massive inverse head and shoulders an idea that I shared weeks ago. This is just a meme for now, until it breaks the neckline around $10,500. Long way away. The daily Ichimoku cloud held as support, as did the Kijun and 200 EMA. I have been long since it tested that area, as you can see in the tweet below.
The 4 Hour chart shows the descending wedge that I posted numerous times, with the clear break out and move up. Now we have a new level of support at $8,972 which I would like to see tested before further price appreciation.
I posted this Wyckoff Accumulation chart on Tuesday. I think you can see how that worked out this time.
Chart Requests
ALGO/BTC
I have been watching this for a few days and almost took a position at 4490 when it looked like it was going to flip resistance to support. That move was not meant to be. Now it looks like we have a descending broadening wedge, and price is finding support on the 21 EMA. At this point I would like to see price above 4490 and really that top descending line. But I do think this has a lot of potential for more movement up.
COTI/BTC
I am in this. Bought today watching this bull flag take form. Now it is breaking out. This looks great as I am writing this. Very little price history, so I had to look at the hourly.
DIS (DISNEY)
Charts are somewhat useless for equities at the moment. I did have orders on that ascending blue line that missed last week by a few cents. That said, 35% or more of Disney's revenue comes from their parks - if the virus spreads, that's going to hurt. Long term, I think that this is going to be a discounted price, but not so into the idea of trading this in the short term. If you are, look at that ascending line.
EOSBEAR/USDT
Interesting spot. Price created a trading range at the top of the recent move and is not testing the bottom as resistance. A bounce off of that bottom should lead to at least a test of the top. That said, price has broken down the key support on the chart, which is bearish. This looks like a sell of it drops below the trading range at this point. I would not personally be interesting in going long on this unless it was back above that ascending line.
ERD/USDT
Not really sure if there's anything worth considering here. It needs to flip that blue line to support locally. Price is also below the 21 and 50 EMAs, which had a death cross a few days back (not a big deal). This is a tough one to read here, but I would be more optimistic above all of the aforementioned levels of resistance.
HBAR/BTC
I have made quite a bit trading this since the newsletter on Tuesday. It looks like it is presently consolidating for another move up, making a bull flag above the local red support. At this point, the safest move would be a break out of that flag, most likely. If not, there are a number of support areas shown that are below price where you could potentially enter if it drops.
INO (INOVIA PHARMACEUTICALS)
I am assuming that this company is working on something related to the coronavirus, considering it's massive move up this week. Pretty epic, smashing through a key descending resistance and the 200 MA all in one move. If it can hold that top black line, I would think this looks quite good. Look at that weekly volume! Insanity.
IOST/BTC
Not really into IOST here. It broke ascending support and is retesting as resistance so far. If it can flip that ascending line back to support and flip the blue level, it would look a bit better. Either way, nothing jump out for the moment.
KNC/BTC
It is very tough to read a chart when something goes parabolic, which is the case with KNC. It seems to be finding support at the current level. I personally have orders in that little demand zone below here. Again, very hard to know what to do with something like this after it pumps that hard.
LINK/BTC
LINK continues to defy gravity and logic. As you know, I was in from the purple line and just below it up until around the black line. It has since made new all time highs - and new bear divs in oversold territory to go with it. Yesterday's candle was a bit ugly, a shooting star. Depending on today, that should signal a coming retracement. Both of these daily candles have ugly wicks up for now. Then again, this is LINK which just does what it wants! I would personally be a seller here without question.
LTC/USD
I have not changed this chart in weeks. Still looks exactly the same to me. It is currently trading below a key resistance level and it did break down that ascending channel last week. This is going to likely do whatever Bitcoin does, since it is a USD pair. I would watch to see if it can flip the $63 area back to support.
MANA/BTC
I am going to keep this simple, because there is 1 very clear level on the chart and price is testing it as I am typing. Above 508 is good, below should lead to a retest of that ascending line. Very simple. Looks like a buy in this area with a relatively tight stop, because it is presently holding support in this zone.
NFLX (NETFLIX)
This is my largest stock position at the moment. If the virus proliferates, people are going to stay home and watch Netflix. It's that simple. Also, the chart looks amazing, as I have mentioned before. Price broke up from the bull pennant and has retested as support. This looks so good to me. One of the few equities that has not been effected so far by the market turbulence.
NCASH/BTC
This is interesting. It unceremoniously broke the descending resistance. I think that this needs to convincingly flip 10 sats to support, since that was such a key line over the past few months. After that, it should target the next areas, line by line. Above 10 and a retest as support should lead to 18.
REN/BTC
REN has been moving wonderfully. I shared this when it broke the pink line and somewhat forgot about it. It's approaching resistance at 815, and has a bit of potential bearish divergence with RSI. For me this looks a bit toppy, so I would not be looking to enter now.
SPY
Charting this with present volatility is somewhat useless, as the market is dealing with a black swan event. So I choose to zoom out to the monthly, which has looked rip for correction for months, if not years. Huge bearish divergences with RSI on the SPY, perfectly preceding the terrible February candle. Price is bouncing so far this month, but it is only the 5th. I personally believe the market has not found a bottom, but that's based on fundamentals, not charts.
The SPY Daily is interesting, because it is attempting to hold the 200 MA as support and bounced from a key support zone. Will be interesting to see if it can hold. Look at the daily volume lately!
TOMO/BTC
This looks like it's ready to make a move and very soon. Huge triangle coming to the apex. I would be watching closely for a break of that descending resistance if you are currently looking to enter a trade on this coin.
TTD (THE TRADE DESK)
Someone asked me to chart this a few weeks back, and price did exactly what I expected. You can see the blue squiggly line. Cool - it hit the target! Bad news is it's been nothing but down since there. Currently struggling with the hourly pivot (P LINE) and testing a key support. This is a small time frame chart, just looked interesting for me on this asset.
XMR/BTC
This is at a key resistance which just failed as support. I have posted this chart a number of time in older newsletters, so you can always refer back to them. This level would actually be a decent statistical short on this pair because of the fact it is right at resistance. Does not mean it will go down - it just means that you could use a tight stop so there's good return if it does drop. This also looked like it could potentially make a little head and shoulders if it does rise.
XMR/USDT
Like the BTC pair, this is sitting at a key resistance which just failed as support. I would consider a trade on this with a break of that line and the descending resistance. For now, it's not in an uptrend.
XTZ/BTC
Waiting for this to come down is like waiting for the messiah. I have had orders at that white line for a long time. That is the only way that I would trade this now, unless it breaks the new all time high and tests that as support. I really can't find a way into this one, because it just keeps rising!
The views and opinions expressed here are solely my own and should in no way be interpreted as financial advice. Every investment and trading move involves risk. You should conduct your own research when making a decision. I am not a financial advisor.