LTCUSD has been establishing a long trend on the daily chart again. After making a long-awaited breakout at a significant level of resistance, the price has been heading towards the North with good momentum. By analysing the chart, it seems that the price has enough space to travel towards the North. The nearest strong resistance level is far enough from the level where the price is at now. This would attract more buyers, which means LTCUSD is going to get more liquidity.
Let us have a look at the Daily-LTCUSD chart.
The day before yesterday’s daily candle made the breakout at the level of 121.75. Yesterday’s daily candle came out as a strong bullish candle as expected. This suggests that the breakout and breakout confirmation both have been done by the daily chart. The daily traders would only look to go long on the pair on its weakness. Today’s intraday price action has been bearish. This is what might attract even more daily buyers. If the intraday charts make breakout towards the upside, after having consolidation, then we will get another strong bullish day today. The H4 chart shows more about the consolidation.
The H4 Chart
The price has been obeying an up trending Trend Line. There have been two consolidation zones so far from where the price made upside breakouts and headed towards the North. We might be having another consolidation and upside breakout here. It may not be a long consolidation, though. The current H4 candle seems to be the breakout candle here. If the current H4 candle closes above yesterday’s highest high, then surely it would be the signal for the buyers to go long on the pair.
The Bottom Line
The Daily, H4 and even intraday charts look so good for the buyers of LTCUSD. However, upside H4 breakout is vital to go long on the pair for the daily traders. It is often seen that after two consecutive similar candles (here we have two bullish daily candles) one candle might come as a corrective candle. We never know what would actually come out. Thus, we must go according to our charts.