DOGE/USD has been within a tight trading range the past couple of days. The rather consolidated price band has been produced after DOGE/USD touched highs over six-and-three/tenths cents on the 13th of March and then reversed lower. However, this slight bearish move didn’t last long, and support near the five-and-a-half cents mark has proven rather strong.
The past two days have actually produced a sincere value band for DOGE/USD which has not been hit by massive volatility. Yes, DOGE/USD certainly remains a highly speculative asset to wager on because it does not enjoy a huge amount of transactional volumes, but the past few days of trading continue to exhibit the ability of Dogecoin to reflect the broad cryptocurrency market. Sentiment across the board market for most of the major digital currencies has seen tighter ranges emerge the past forty-eight hours.
What may make DOGE/USD traders encouraged is a glance at a five-day technical chart. DOGE/USD has been able to sustain a higher range and has not seriously challenged support levels below. If support junctures continue to be durable, it may be an enticing indicator for speculators to become buyers and target higher values.
Additionally attractive for DOGE/USD has been its ability to incrementally raise its support levels the past two days. This may allow speculators the chance to use close stop loss orders while they pursue bullish momentum to emerge and target highs near the six cents mark.
Traders are reminded to not become too greedy when they have achieved profits via their speculative positions. There are few feelings worse in the world of speculating than watching profits evaporate into thin air when the market suddenly goes against the existing trade. It is wise to use trailing stops when possible, which means a speculator can theoretically lock in a certain amount of profits, stay in a trade and chase their goals. If a trader cannot use trailing stops, they should seriously consider cashing in their winning positions when they have reached solid targets.
The recent trading of DOGE/USD has delivered a rather comfortable value range. This tight price band is unlikely to continue and traders need to be prepared for volatility to emerge. However, speculators will likely find this notion appealing and potentially alluring if they choose to follow their bullish sentiment and be buyers of DOGE/USD.
Dogecoin Short-Term Outlook:
Current Resistance: 0.05900000
Current Support: 0.05650000
High Target: 0.06000900
Low Target: 0.05490000
