Wednesday | 26th December 2018

Everyday is a Potential Payday if you Master the Art of Trading - Daniel Ang

Good Day all my beloved students & steemians. Inside this daily commentary I will share the short-term technical outlook and trade ideas for Bitcoin, Ethereum and Litecoin.  

Previous commentary refer here: http://bit.ly/btcethltc241218

My core strategies refer here: http://bit.ly/taicorestrategies  

WARNING

Do not attempt to use any of the trade ideas contained within unless you have attended my classes and understood the risk and money management behind these ideas.   

Full Disclaimer refer here: http://bit.ly/tai-disclaimer 

Want to own Bitcoin rather than ETF trading, check the two link below: 

Honey Miner : https://honeyminer.com/referred/59hvc 

CryptoTab : https://get.cryptobrowser.site/2402149  

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BTC/USD

As expected the topside potential in crypto assets going into the Christmas holiday was limited. 

BTC extended its gains to $4219.16 and promptly came under a rather aggressive round of profit-taking. Based on this morning rebound, it is possible this corrective pullback may have run its course but it is best to take a more conservative approach as the other cryptocurrency pairs may continue to corrects lower in the hours to come. 

Still, this decline is seen as a correction and BTC is expected to evetually resumes its long-term climb from the month’s low of $3118.71. 

Regardless, when the current correction ends, the next target is the area between $5436.48 - $5636.63 (see 4-hourly chart).                   

 TRADE IDEAS

ETH/USD

By comparison, ETH rose the fastest last week and in yesterday’s fall, it fell the hardest among the 3-cryptocurrencies tracked. 

From a peak of $158.33, it fell to a low of $121.53 overnight before rebounding this morning. It was a good thing, we unloaded earlier long positions as this market rose prior to Christmas Day. 

Now that it has fallen back, it allows the repositioning of long positions for another rise. That said, there is still a risk this correction may not be over. 

As such, taking profits at $138.50 may be a good idea with the idea that if this correction is still unfolding, we may have another chance to buy again.

In the hourly time frame, there was a clear 3-wave corrective sequence from $158.33 to last night’s low at $121.53. 

As noted in BTC, in the event if this correction is still unfolding, we may yet see a more complex corrective pattern been formed. 

In this case, it is better to use the 4-hourly time frame for timing entries and exits.                     

TRADE IDEAS

LTC/USD

While the early part of this recovery in cryptocurrency values was led by LTC, since last week, it has lost the lead to ETH. 

Still, the way forward is rather clear. For quite sometimes now, it was suggested that crypto assets may had bottomed out in mid-December as this rise from the year’s low is seen as a potential reversal. Over the weekend, LTC peaked at $36.28 and fell to a low of $29.48 overnight before rebounding this morning. 

It is possible this corrective declive may be over but it is too early to call a bottom for this sequence. In the event that this correction is still unfolding as depicted in the hourly time frame chart above, we may still see another decline below this morning low of $29.48 - towards the mid-$27.00 level. 

As such, the near-term game plan is to close out exiting longs at 32.25 and hopefully we can re-position these longs as this market retreats again. But buy we must if the outlook is one of a signficant reversal.              

TRADE IDEAS