Trade Recommendation: VeChain
Our April 29, 2019 trade recommendation for VeChain (VET/USD) hit both targets. Those who followed the trading plan to the second target grew their investments by over 50% in less than a month. VeChain climbed as high as $0.013199 for a brief time today, May 14, 2019.
Obviously, the market overshot our targets. Fortunately, bulls were not yet strong enough to breach resistance of $0.0069. This gives us another shot to enter at a discount before VeChain starts a massive rally.
Technical analysis shows that VET/USD is creating a bull flag on the daily chart. This is a continuation pattern, suggesting that the market will likely resume its uptrend once consolidation is over. The good news is that the daily RSI is no longer overheated. In addition, the volume is starting to show signs of life. These signals tell us that VeChain might be gathering momentum for the next leg up.
Also, we’re about to see a golden cross between the 100-day moving average (MA) and the 200-day MA. The pending crossover indicates that the market is turning bullish. This can be the technical catalyst that pushes VeChain above the resistance of $0.0069.
The strategy is to buy the breakout and retest of $0.0069. If VET/USD bulls control this level, they will target $0.0085 and $0.01325.
The process may take less than a month.
Daily Chart of VeChain/US Dollar on Bitfinex
As of this writing, the VeChain/US Dollar pair is trading at $0.0069029 on Bitfinex.
Summary of Strategy
Buy: Breakout and retest of 0.0069.
Targets: $0.0085 and 0.001325.
Disclaimer: The writer owns bitcoin, Ethereum, and other cryptocurrencies. He holds investment positions in the coins but does not engage in short-term or day-trading.
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