Cryptocurrency
by Seth Parker on June 13, 2018

Decred Analysis – Waiting for the breakout of the 80 USD support

Second piece of the day, will be about the Decred. The last time, we wrote about this crypto on the 18th of May, when the price was around the 92 USD. We were bearish as the price was in a flag formation but in the same time, we were aware of the importance of the 80 USD support, writing this:

“We have similarities too, the current rise is shaped like a flag (orange lines) and it promotes a further drop. In my opinion, for the sell signal we should wait a bit more, so for the breakout of the 80 USD support (green). As long as we are above, the buy signal is intact. „

Guess what happened. The price indeed broke the lower line of the flag and aimed lower. The thing is, that they also stopped above the 80 USD, and the price reversed! How good is that? Time to update our view. Since that, the price created a head and shoulders pattern (yellow rectangles), which along with the flag mentioned above, promotes the further drop. The trigger point does not change – it is still the horizontal support on the 80 USD. As long, as we stay above, further decline is only theoretical. Only the breakout of the green line will give us a legitimate permission to go short.

By Seth Parker

Seth is a professional trader with over 10 years of experience. He specializes in the technical analysis. His main focus is on the pure Price Action. In his trading, Seth used the trends, supports and resistances and technical formations. Always, the most important thing in his strategy is the money management. Seth reached a proficiency in trading and for the past three years is doing that for a living enjoying the sun and lovely beaches of the Spanish coast.

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