Price Action

I am sure by now there are perhaps hundreds of post on the recent price action at Hive. Obviously as a Hive investor (yes, it means I am not selling my powered up hive anytime in the near future), I feel very happy about it. I also feel that this price action is a short-term move, and likely correct in near future. We also know that this rally has a 'fundamental' trigger. It is the listing of Hive at Huobi Exchange and the news of the airdrop. People are buying into Hive to qualify for the 100K total hive airdrop by Huobi.

So with that, I want to take a look at the recent Hive chart. Normally I look at the daily chart first, but since hive listing is new, and the price action is intense, it is better to look at 1-hour chart first.

Is this Technical Analysis: Does it work?

Yes, it is; and No, it does not work for price prediction very well, but it does work to manage a trade, and being unbiased about the price action. What I mean by that, is that TA is an excellent tool for managing a trade where little other information is available, The way it works is this:

• There is a fundamental trigger, in the form of hive airdrop by Huobi till April 28th
• Airdrop buyers have no reason to sell until the Airdrop
• Rest are traders, and doing similar things

This is an ideal situation for TA to manage trades. Because, it takes the price bias out of ones mind. Meaning, you don't think, "Oh, this price is too high!" .... and "Oh! this is too high to buy!"

How to Manage

It's rather simple: You buy the pull back in price (no need to look at any indicator, they are slow); and sell at the new All Time High (usually a round number, or just below it). If you look at the chart above or the one below, there were 5 such opportunity to enter the trade and exit at the ATH.

If the chart above looks too noisy, there is a simpler one that I like a lot:

Above is a Heikin-Ashi chart for the same interval. Details regarding HA candle can be found here. I have used these Zen candle since I was a kid, and it really helps slowing things down for a traders and help staying with the trend.

So where do we go from here?

I do not have the first damn clue! Neither, has anyone else. But right now, the trend is up, and trend is your friend. There is a fundamental reason for this rally to continue till April 28, likely it will continue until then in some form or other.

Oh, almost as an after thought, here is the daily chart of hive/btc:

We are doing quite good, eh?

Disclaimer: This is NOT professional financial advice, this is all just my own opinion and experience. I am NOT a Certified Financial Adviser. Consult professionals for any financial, accounting or legal related questions you have.

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