Lets get to the most recent action. On the 4 hour chart, you can see that LTC has produced a large . This particular is quite large, bigger than the average that LTC usually produces. This isnt necessarily alarming, however it does expand the maximum downside risk, as you can see on the chart as the Solid Red Line. This is the full potential of the , and doesnt necessarily mean it will get reached, just information showing the downside risk at the moment.
You can also tell, LTC is currently fighting the 50 day levels directly above, and the 200 day levels right above that, then the top of the . There is ALOT of overhead resistance directly above, and it seems the path of least resistance is to the downside. has diminished over the past few days, as expected during a flag consolidation. This could very well break to the upside, but right now, I would stay on the sidelines.
If we see a break above the 50 day and 200 day , and a close above the top of the , we can start looking to retest the highs on 3/4, which is the beginning of this . For educational purposes, I like a long entry at the 196-198 levels and a short entry at around 174-176. But as of right now, I am on the sidelines, until I get further confirmation on which way this bad boy is headed!
Let me know what you guys think!
Good luck my friends, and trade safely!
***This is for entertainment and educational purposes. None of this information is intended as financial advice or guidance!