Since my last technical analysis on Litecoin, it has had a very nice breakout, possibly in anticipation of the upcoming Litepay launch. So where are we now in terms of the breakout?

Here's the latest snapshot of the 30-minute chart on LTC/BTC, courtesy of Bittrex. I usually work on daily charts but since it has only been a few days since my last analysis, I thought looking at the price action from a more microscopic level will be clearer in this instance.

Commentary:

From my previous post on Feb 10, I mentioned that the 0.02 resistance has been tested at least 7 times in the past and in each instance failed to clear. And as we can see from the chart above, 4 days later, we finally cleared it zooming as high as 0.025 within the next few hours.

This 0.020 level has now provided support as price action went into consolidation mode and price range became tighter and tighter. A flag pattern has emerged, which usually indicates a continuation of the previous move. If this happens, it would indicate that there's meat in the recent move and not just a pump-and-dump scenario.

As always, take care and stay flexible especially if you're doing short term trading. Till next time.

Risk Warning: All comments, charts and analysis on this post are purely my own and should in no way be treated as recommendations or advice, nor should they be construed as an endorsement or recommendation to buy, sell or hold. Please do not trade based solely on the information provided on this post. Furthermore, past performance does not guarantee future success. Always do your own due diligence and analysis when trading.

Photo courtesy of Pixabay