Litecoin - The Overbought Market with Trend Reversal Signal

This market also follows the main idea of other top crypto markets. It looks overbought and provides us bearish signals.

We have a trend reversal signal which is based on a bearish divergence. RSI confirmed the price reversal from 120.00 resistance level and we got this signal in the overbought zone. MACD lines still support the further upward movement, but MACD histogram confirms a downward movement. DMI is bullish and confirms trend market conditions. ADX line moves downward, and it is a good signal confirming that buyers are not active.

The breakout below 100.00 strong support level will confirm the further falling. The good buying zone will be between the local uptrend line and SMA100. Buying based on the current levels, of course, can be profitable too, if the market continues the uptrend. But it will be a mistake if we talk about proper trading in the financial markets.

If you like my work, please support it by clicking the LIKE button! Thank you!