QUOTE(b0rhui @ Jun 29 2017, 10:26 PM)
I noticed when the consolidation starts it would usually dip after some time, if the volumes go decreasing. Is it true?
Yeah, usually when the volume decreases the the MACD will reflect a downward trend. So if you're
day trading the best time to sell after a surge is right when the line is about to intersect and curve downward, you can also look at the SAR patterns and compare with the previous market behaviours.
Sometimes volume may decrease but the price continues to stay afloat, that could be an indication that whales are gobbling up the coins to keep the price up. However, usually when this happens, the whales will eventually dump everything at one go and you'll have a massive dip. Same thing happened with LTC yesterday, I sold all my holding at the peak and right about an hour ago started buying back when the MACD is starting to trend upward again. See how the lines intersect and start moving upwards (
http://prntscr.com/fpmag9), when the black line is going above the red line then that is usually an indication that the trend will go upwards. But to get a more accurate picture try also looking at the 1 hour chart and compare also with the SAR patterns.
At the end of the day, there is no one certain answer, these are all just there to help you make a better decisions by reading the market behaviour, and by no means work as a crystal ball. I have made plenty of mistakes and bad decisions to from time to time, so take what I say with a pinch of salt and do your due diligence as well
This post has been edited by dc_talkz: Jun 29 2017, 10:50 PM