LTC has been lagging the other majors in recent weeks, trending lower compared to Bitcoin, and trading in a broad consolidation pattern against the USD. The Bitcoin chart is showing a lengthy bullish divergence, respecting a strong support zone around the 0.010 level, with a break-out of the consolidation expected in the coming days.
LTC/BTC 4-Hour Chart Analysis
So far the rally attempts were stopped by the declining short-term trend-line which is converging with the support zone and the rising long-term trend-line this week. On the Dollar pair, the currency is still trading near the $30 mark, with the declining trendline of the consolidation pattern still holding back the currency.
LTC/USD 4-Hour Chart Analysis
The initial target for the move is the 0.015 resistance on the Bitcoin pair, while the Dollar pair could rise into the $45-$50 range in the coming weeks. The bearish scenario is a sustained break below the 0.010 support, so stop-loss orders could be placed around the 0.08 level, and around the $24.50 on against the USD. More aggressive traders could wait for the break-out and use tighter stops.