LTC/BTC Price Analysis: M-formation to lure in the bulls
- LTC/BTC is stalling at support and bulls have eye son a significant correction.
- The hourly conditions remain somewhat bearish but can be monitored for a change in the environment.
LTC/BTC is offering the potential for an upside opportunity as the price meets a demand area and is due for a correction.
The following is an analysis of the daily chart and a bearish impulse of six consecutive lower lows, highs and bearish closes.
There are prospects of a significant correction back to test the vicinity of the neckline and a confluence of a 61.8% Fibonacci retracement as follows:
Daily chart
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1-hour chart
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Bulls will need to get above the local resistance structure and ideally pull MACD into positive territory to confirm the bullish environment.
The price will need to be at or above bullish moving averages such as the 21-simple moving average.
An optimal entry should be taken from old resistance and new bullish structure.
Author
Ross J Burland
FXStreet
Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.
