This is continuation of my last analysis on Game but it can be used separately. In my last analysis on TradingView I said:
"I'm waiting to buy at 0.001005 a few Game and 2-3x more at approximately 0.000764, maybe little bit sooner since the 1D trendline can reverse the price move before testing 0.000764."
Right at the beginning, few things to remember:
- Don't forget to place your limit orders - it'll cost you money
- Don't rush but don't hesitate
If you believe in something, don't wait for perfect conditions, that's how you miss many opportunities. One example for all, this is my analysis for Ethereum for 3rd April.
But back to the analysis. First important chart is on 1D timeframe:
This one chart is everything, you need to see. Have a look at risk reward ratio ... We are very close to potential reversal to uptrend. Trendline still holds + there is support zone created of many spike lows and upper part of rotation.
Right now (at 0.0009675) the RRR isn't so good - around 1,6. That is btw the exact reason why you should't forget to place limit orders. Original recommendation was to buy before testing trendline and spike low since the trend could reverse sooner (at that point RRR was 1:7+.).
Anyway the opportunity is still here. I'm not sure if I would place full position at this time, you decide for yourself. I know my technical analysis skills are much better than my moneymanagement skills.
What's going to be MY next move?
1) I'm bullish right now
- we have really beautiful risk/reward ratio (if things don't mess up)
- trendline still holds
2) I'll be careful - You need to be careful
- if the price gets under support zone (yellow rectangle), it won't be funny
- by "gets", I don't mean spike, I mean close and create one whole candle below support zone
3) From my experience - when it seems 100% obvious, it will mess up
- I believe there is a chance we will "spike test" middle of rotation at 0.000628
- if this happens we would be in a huuuge loss in case our SL is set according the rule "close and whole candle below"
And this is exactly why you have to also do your own research and why you should learn. When things mess up, I will know what to do, I did the analysis, and I know what to expect. If part of your strategy is waiting until someone posts update on TradingView, WOW! That's the worst strategy ever.
My possible solutions for risk management:
- open 1/3 now, 1/3 at support zone, 1/3 at middle of rotation
- open full position now with SL below support zone and 2nd position at middle of rotation
- open full position with SL according to "close and whole candle below", use lower TF to define this since the moves can be really fast
Potentials are already set, price levels don't run away, they are still here:
- 0.001005 (low RRR, close smallest portion of position)
- 0.001146
- 0.001298
- 0.001491
Those are all potential temporary reversals of trend, except 0.001298, this one seems really strong.
So that's it. But one more recommendation before you start investing/speculating:
Rule #1 - be ready to lose invested money.
Even with the best technical analysis, you can't beat wrong mindset.
Keep it simple, don't rush and keep smiling.
PS.: This is my first post I hope everything will work. :) I would really appreciate "preview" (edit - found it! pictures still not working - fixed) .
ABOUT ME:
Passionate reader interested in personal growth, finance and valuable ideas. Right now I'm focused on technical analysis, crypto and progressing Firelands. Reading: Tim Ferriss - Tools of Titans.