Crypto-Currencies: Bitcoin, Litecoin and Ethereum for October 7th

Crypto-Currencies: Bitcoin, Litecoin and Ethereum for October 7th

Crypto-currencies are now mainstream trading instruments. I am providing charts in this blog on a weekly basis. I plan to cover just three cryptos: Bitcoin, Litecoin, and Ethereum. The point of this weekly post is to show the crowd psychology behind the price movement to support high-quality trades.

BTCUSD — No change in forecast,  still in a retracement, lower prices still expected. We may be forming a triangle here, if so then the resolution is lower and a high likely hood that the move is terminal.  Lower prices to 5400 and possible 4800 are likely. The monthly pivot  must hold as resistance.

ETHUSD — No change in forecast. Target has been achieved at the $168 target as mentioned two weeks ago. Lower is still likely as we have a three back. We can just see a double bottom as a reversal pattern. A lower low is possible here into 147-142. I am expecting positive divergence on RSI when the low is in. Cross the monthly pivot and we have turned and a major low may be in.

LTCUSD – No change in forecast. We have seen the low below $49 as discussed two weeks ago. Currently expecting at least $47 and positive D on RSI.  A lower trend line touch is ideal for a reversal. I am expecting resolution of this sideways price action this week.

Since my post back on Sept 2nd, we have been on a steady decline in Cryptos. We may be forming a triangle on BTC in the last two weeks, which means that a terminal move lower may be in store. Watch the monthly pivot here as resistance, if it continues to hold, lower price may be in store.  Until then, I am waiting for a reversal pattern to set up, which means lower low, positive D on RSI and a higher low.  Trade safe.

About the Author

Stan Nabozny
Stan is a 20 year retail trading veteran and Co-Founder of The Art of Chart. A registered Commodity Trading Advisor, his specialties include using futures and options to trade Energies. Precious Metals, Equities, Currencies, Bonds, Softs, Grains and other commodities. Stan believes that Risk Management and Trader Psychology are more important that technical analysis and spends his time teaching and coaching other traders on these topics . Stan uses various trading systems and technical analysis approaches that integrate time and price in his work. See his latest articles here and www.huffingtonpost.com.

Leave a Reply