COMP News AnalysisI predict with the best probability the future trends, my ideas are reserved for the experienced trader. #UniversTrader
COMPUSD trade ideas
COMP looking over bought, might test support at $675~COMP volume has diminished in the last few days leading those who bought at $450 support band to take large profits. I expect a test of support at $675. Invalidation of bulls at $675 could push the price down to $500. Otherwise support could gather at $675 for the eventual push to $1000.
Overall price outlook looks good for COMP because Ethereum has surged in price.
The compound protocol continues to attract more users and has a factor more assets in its markets compared to competitors like (AAVE), (XVS), and (NEO).
Compound (COMP) - April 29Hello?
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(COMPUSD 1W chart)
(1D chart)
We need to see if we can get support and climb in the 642.666756-679.671780 section.
If it falls, you need to make sure you get support at 531.651680.
If you go down at 420.636604, you need Stop Loss to preserve your profit and loss.
If you break above 679.671780 and gain support, it is expected to create a new wave.
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(COMPBTC 1W chart)
(1D chart)
We have to see if we can get support and climb at the 11425 Satoshi point.
If it falls at 8976 Satoshi, Stop Loss is required to preserve profit and loss.
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It is advisable to trade at your average unit price.
This is because if the price flows below your average unit price, which was on an uptrend or downtrend, there is a high possibility that you will not be able to earn a large profit due to the psychological burden.
The center of every trade starts with the average unit price you start trading.
If you ignore this, you may be trading in the wrong direction.
Therefore, it is important to find a way to lower the average unit price and adjust the proportion of the investment, so that the money that ultimately corresponds to the profit can regenerate the profit.
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** All indicators are lagging indicators.
So, it's important to be aware that the indicator moves accordingly with the movement of price and volume.
Just for the sake of convenience, we are talking upside down for interpretation of the indicators.
** The wRSI_SR indicator is an indicator created by adding settings and options from the existing Stochastic RSI indicator.
Therefore, the interpretation is the same as the conventional stochastic RSI indicator. (K, D line -> R, S line)
** The OBV indicator was re-created by applying a formula to the DepthHouse Trading indicator, an indicator that oh92 disclosed. (Thank you for this.)
** Check support, resistance, and abbreviation points.
** Support or resistance is based on the closing price of the 1D chart.
** All explanations are for reference only and do not guarantee profit or loss on investment.
Explanation of abbreviations displayed on the chart
R: A point or section of resistance that requires a response to preserve profits
S-L: Stop Loss point or section
S: A point or segment that can be bought for profit generation as a support point or segment
(Short-term Stop Loss can be said to be a point where profits and losses can be preserved or additionally entered through installment transactions. It is a short-term investment perspective.)
GAP refers to the difference in prices that occurred when the stock market, CME, and BAKKT exchanges were closed because they do not trade 24 hours a day.
G1: Closing price when closed
G2: Cigar at the time of opening
(Example) Gap (G1-G2)
CompMuch needed pull back. Lookin for 750. 725 or at the absolute
Lowest I will still be remaining exremly bullish is 687$.
CompI would assume a nice back test to 685-690 to confirm as new support then another launch. Let’s see what happens. Target of this move is 840 so we will see if it hits that before pulling back to retest 740 instead or how it’ll olay out
COMP RETEST?COMP recently broke resistance in the past couple of day. Hit one retest. Looking for re-entry on a second one.
Comp Trend IdeaAll,
If you look at previous price action/ RSI and compare it with current price action/ rsi there seems to be a pattern.
Previous price action which pushed to new ATH stayed within the RSI trend lines creating a pendant. Once RSI neared the end of the pendant it broke out to new ATH.
Current RSI is forming the same pendant and nearing the end of the pendant.
Previous breakout had a gain of $377. I am taking profits around $847
Let me know what you think about this pattern and trend. This is not trading advice.
COMP Price Breached EMA-8 & 13, What’s Next ?COMP price traded at $556 with a gain of 8.74% in the last 24-hour and 5.43% down in the weekly time frame. Furthermore, COMP price plunged from the resistance of $640. In contrast, the market capitalization stands at $2.78 billion. Technically, investors can perceive a positive crossover in the EMA, and the price is above the 55-EMA. RSI index showcases a downward slope. Moreover, the price movement can be towards the resistance of $640 in future trading sessions.
Resistance: $640
Support: $445
COMP - BREAKING OUTCOMPUSD - is breaking out of this daily resistance after forming a massive inverted head and shoulders ! price is going to get sent if it flips this resistance as new support.
Mitigating High Risk Long Positions with CoveringStop losses are an, often unwelcome, but ultimately necessary and life saving tactic to day trading. When going long, setting a high stop loss can be beneficial for getting out of bad trades quickly with small losses, and opening yourself up up more opportunities for good trades. Setting a low stop loss on the other hand, can be beneficial by greatly increasing your profit. Many trades that seem bad initially end up rallying and turning profitable. Generally speaking, the lower your stop loss, the higher your percentage of good trades. The downside to a low stop loss of course is that trades take longer, locking your funds up, and what if price actually hits your super low stop loss? You've lost a super amount of money.
In my trading career so far, I've preferred a low stop loss. Losing out on a good trade due to a conservative stop loss is more painful to me than the risk presented by a liberal one. But this is a high risk to accept. Losing, say, 20% of my trading capital is definitely something I want to avoid, but not at the cost of a high stop loss.
So, I can hedge my position, mitigate my risk, in one of a few ways. I can open a short position when I see my long position go south. Or I can engage in Dollar Cost Averaging: I buy more as the price falls to lower my average position size and ultimately my target profit. These are good options, but come with their own side effects. Opening a short position opens you up to risks associated with a short position, i.e. price suddenly shoots up. And Dollar Cost Averaging requires additional funds to keep buying. What else can I do?
Enter "Covering". From Investopedia: "To cover is to take a defensive action to lower the risk exposure of a position"
The graph attached here is a demonstration of Covering (the exact spots for buying/selling were picked hastily; this example is purely conceptual and an ideal situation). The basic idea is: when price begins to fall, sell it, just like a stop loss. However, unlike a stop loss, the intention is to buy back in at a lower price when price begins to rise again.
This is like dollar cost averaging, because you're, in a sense, lowering your average position size. The difference is you don't need additional funds. This is also like short selling, because you rely on the price continuing to fall, but you haven't borrowed anything in order to benefit from this fall.
As you can see in the diagram, as you sell and buy back, the amount of shares/coins/whatever you can afford off your initial capital increases, thus either increasing your profit if the trade hits the profit target, or decreasing your losses if the trade hits your actual stop loss.
Here's how Ive been setting up my covers:
When price begins to fall, I set a conditional market sell somewhere below the nearest support. If price falls to this level, I immediately sell everything
Once I've sold all my shares, I set a trailing stop loss for the cover; I generally do ~1.2%. If, after I sell, price rises 1.2%, I buy back as many shares as I can with the money I got from selling earlier. Ideally, this trailing stop falls well below where I sold.
Rinse and repeat until price either hits your original take profit or your original stop loss.
Some things to note. Do not buy below your original stop loss! The purpose of this strategy is to respect your original decision, not make new ones . This is meant to mitigate a high risk situation, don't expose yourself to more risk in doing so. Also, you theoretically want to buy back above your original stop loss, even if it looks like it's going to fall through. Make your own call here, but by not buying back, you've essentially just changed where your original stop loss is, and thus changed your original trade decision.
Of course, nothing is without its own risks. It's quite possible that you get stopped out for a loss every time you sell, i.e. you sold, price went up, so you buy back at a higher price to stay in the trade. This will eat into your profit if the profit target is eventually hit, or simply add to your losses if the stop loss is hit.
From my point of view, that risk is less painful than the risk of hitting a low stop loss without covering. You theoretically give yourself more chances of being right with these micro trades inside of your larger trade, and if you get lucky, as is the case in my diagram, you might actually profit even if your original stop loss is hit.
This strategy requires attention, for sure, but if you're both strategic and lucky, you can really save yourself from the downsides of a high risk trade without adding money to the pool, or exposing yourself to short selling risk.
Compound following Maker?Hey guys, might look like compound is following maker for 47% gains, just a few days later. Compound is also #1 in lending locked up compared to maker #2, so might be a little muted. Thoughts?
Compound: Breaking OutTo stay up-to-date with the latest market developments, be sure to subscribe to Kraken Intelligence at kraken.com
With DeFi largely underperforming its peers over the past few months, it comes as no surprise that we're starting to see bullish momentum rotate back into the space over the past few days. This is evident when looking at DeFi's total value locked (TVL), which just jumped from $52.5B on Monday to today's reading of $59.8B. Compound (COMP) is among the various DeFi plays that appear to be regaining bullish momentum...
If you're not familiar with Compound, what you should know is that Compound is a software running on Ethereum that aims to incentivize a distributed network of computers to operate a traditional money market. Compound uses multiple cryptoassets to provide this service, enabling the lending and borrowing required without a financial intermediary like a bank. Put simply, Compound allows users to deposit cryptocurrency into lending pools for access by borrowers. Lenders then earn interest on the assets they deposit. Once a deposit is made, Compound awards a new cryptocurrency called a cToken (which represents the deposit) to the lender. Examples of cTokens include cETH, cBAT and cDAI.
Now, moving onto the technicals... Per the 1-day chart provided above, we can see that COMP punched through $555 resistance earlier today and climbed to an all-time high of $593. With COMP having traded between $400 and $555 since February, today's breakout appears to have bucked said trend. Assuming we see COMP close above $555, and turn said resistance into support, we could see COMP enter back into price discovery mode as DeFi heats up yet again. But as always, where BTC trends next will likely dictate whether or not COMP can push higher.
COMP Inverse H&S BreakoutCompound looks to be another alt that is experiencing a neckline breakout from an inverse head and shoulders pattern.
It looks like a slight retracement is now occurring which has the potential to break down below the neckline still, however, assuming the trend continues, it has a bit of potential upward as indicated by the head to neckline length extended after the breakout (dashed blue line).
There is a similar breakout occurring against COMPBTC, so it looks like there is some potential to outpace BTC over the next few days as well if the breakout continues. I suppose we shall see soon if the breakout becomes more definitive in the next day(s) or so.
Picking up some COMPI should've got some COMP back in the move over 175. Or the momentum move through the 200's. Or during the previous consolidation in the mid 300's. However I didn't so I'm chasing momentum here. Not a great entry but I think there's more to run. I'm super bullish on Ethereum right now but I'm already in that position so putting a little in COMP as a related play as people discover how big the Ethereum space is and all the ways money is being made there. We're still in the middle of the crypto bull run so even mistakes are likely to eventually get bailed out (looking at you XTZ).
COMP-PERP | Short tradeHTF trend is bearish . Left clean lows on the way up, swept the high into the 61.8 and broke MS . Came back up to form a lower high that was swept and broke down further. Entered on market after the second break of MS . First target is the low of this corrective leg, second and third targets are the extension levels.
