LTC/USD Long-term Trend: Ranging
Supply Zone: $125, $130, $135
Demand Zone: $115. $110, $105
Price of Litecoin had been ranged bound after the price of the asset fell to the low of $120. Litecoin had been stable because the asset fluctuated below and above the price of $120. However, before the range bound movement, the price of the asset had fallen from the high of $149.40 to the low of $118.90. Meanwhile, the MACD line and the signal line are below the zero line indicating that the asset is a sell signal. In addition, 12-day EMA and the 26-day EMA are above the price of Litecoin indicating that the bearish trend is ongoing.
However, since the asset is ranging, we ought to establish the levels within which the asset is ranging. Price of Litecoin is ranging from the resistance level at $130 to the support level at $110. Nevertheless, because of a possible breakout, we make use of pending orders. At the resistance level, you place a buy stop order and a stop loss above the resistance level. Then at the support level, you place a sell stop order and a stop loss below the support level.
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