- September 8, 2022
- Posted by: Tradingshot Articles
- Category: Cryptocurrency
For this particular analysis on Terra Classic we are using the LUNCUSDT symbol on the KuCoin exchange.
The idea is on the 4H time-frame where LUNC is extending the parabolic rise it has been on since the August 19 Low. As we mentioned in our previous analysis the break-out above the 1.0 Fibonacci level was an instant buy signal and the price is now approaching the next one, the 1.5 Fib extension. The 0.00045 Resistance from May 26 is now broken, so on the longer-term at least, a new pattern is emerging.
On the short-term though, a sell near the 1.5 Fib on a tight SL on the Fib level exactly, can be solid with low risk targeting a little above the 4H MA50 (blue trend-line). A closing above the 1.5 Fib though would again be an instant buy signal, targeting the 2.0 Fib.
On the other hand, a closing below the 4H MA50 (would be the first time since August 23), would be a sell signal targeting either the 4H MA200 (orange trend-line) or the 0.5 Fib (whatever comes first).
On a side-note, notice the Channel Down on the 4H RSI and how well each Lower High and Lower Low have been excellent sell and buy entries respectively. Use this to your advantage.