Dogecoin Technical analysis
Hello everyone welcome back to another update
Hello ladies and gentlemen as you can see on Doge we ended up breaking above a very key resistance level here at 0.168$ but as of right now we are pretty much right back into that same Zone with a very strong rejection formation I mentioned this to you many times the fact that we need to see the exponential moving averages hold as support but we want to wait for a candle close we were currently in between that zone right there when I mentioned that to you and you can see we got a candle close below once again on these exponential moving averages and now we are seeing a rejection formation on the 4-Hour time frame as well we have to be very cautious in between these levels because looking at Bitcoin and Ethereum we are starting to see some stronger bearish engulfing candles being formed and ideally that would mean that Doge would also be looking for a corrective move if we end up losing 0.168$
We are talking about right now is of course this consolidation range that we don't necessarily want to be trading instead what we want to do is of course, wait for the wick-high break here you can see that we got pretty close to it but we didn't end up seeing that break formation once that level opportunity does end up breaking out then we can focus on 0.21$ any clean break below this support level here at 0.146 then that would mean that Doge is of course, heading back toward the downside possibly into 0.11$ and 0.12$
The daily time frame for possible buying opportunities you can see the 20 exponential moving average still has not been tested that would be the first area of a buying opportunity on Doge any break below that level of course then we can start focusing on our next major support level which would be at 0.11$ and the reason why of course I didn't mention 0.124$ as a crucial support level is because of the fact you can see on previous price analysis we have already tested that level twice this would now become the third test opportunity and usually on the third test we tend to see a breakdown formation this is why I would consider heavily looking into a buying opportunity more at 0.11$ instead
This morning but you can see even with the the news we pretty much ended up right back into that same Zone which is why you have to be very cautious of your entries in terms of the overall time frame though if Doge does end up breaking 0.21 that is the last remaining resistance before we start focusing on the major resistance level but right now in terms of the consolidation we are seeing this is what we call a no trade zone a no trade zone happens because the exponential moving averages are pretty much going sideways you don't necessarily want to get chopped out in between these ranges but all we have to do is simply be patient a break Above This major resistance we enter a long opportunity and a break below this support level, of course, we can start looking for some shorting opportunities back towards a downside
I have taught this to you have many times in terms of exponential moving averages when Doge initially ended up seeing this sideways movement you can see we had a period of just a very long sideways movement before Doge finally ended up breaking above those exponential moving averages and this is a perfect example of this case scenario you can see that as soon as that major resistance level was broken right here we ended up breaking above retesting that level as support you will notice that the exponential moving averages started being used as support as well which caused a massive breakout then we pretty much only were looking for buying opportunities on every single move set towards the downside and that is exactly how we trade on these EMAs on the 4hour time frame but that's pretty
see you in another update Please Don't forget to upvote, resteem, and comment...
