The price has broken through multiple support levels, showing continued weakness with no strong reversal signals yet. The downtrend remains intact, and unless a solid base is formed, further downside movement is possible.
Key Considerations:
Support & Reversal Area: As no significant buying pressure has emerged, the next key level to watch is where price stabilizes and forms a potential reversal pattern, such as a double bottom, bullish divergence on RSI, or strong volume accumulation.
RSI & MACD Signals: If RSI reaches oversold conditions with bullish divergence while MACD starts to turn upward, it could indicate a possible reversal. However, confirmation is needed before considering an entry.
Trend Strength: The current price action suggests weak momentum, and blindly accumulating at this stage carries high risk. Waiting for clearer signs of stabilization or a confirmed breakout is a more prudent approach.
Should You Start Collecting?
For myself, I wouldn’t rush into accumulating blindly. Instead, I would:
1. Wait for a Base Formation: Look for strong support and consolidation before considering entry.
2. Watch for Volume Confirmation: Increased buying volume at support can indicate institutional accumulation.
3. Monitor Key Indicators: Oversold RSI, MACD crossover above zero, or bullish candlestick patterns could signal a potential turnaround.
Potential Trade Plan:
If a strong support emerges, look for confirmation before entering.
If the downtrend continues, stay patient and wait for a reversal signal.
Avoid catching a falling knife.... let the market show clear signs of strength first.
Disclaimer: Please be informed that all stock picks are solely for educational and discussion purposes; they are neither trading advice nor an invitation to trade. For trading advice, please consult your remisier or dealer representative.
Key Considerations:
Support & Reversal Area: As no significant buying pressure has emerged, the next key level to watch is where price stabilizes and forms a potential reversal pattern, such as a double bottom, bullish divergence on RSI, or strong volume accumulation.
RSI & MACD Signals: If RSI reaches oversold conditions with bullish divergence while MACD starts to turn upward, it could indicate a possible reversal. However, confirmation is needed before considering an entry.
Trend Strength: The current price action suggests weak momentum, and blindly accumulating at this stage carries high risk. Waiting for clearer signs of stabilization or a confirmed breakout is a more prudent approach.
Should You Start Collecting?
For myself, I wouldn’t rush into accumulating blindly. Instead, I would:
1. Wait for a Base Formation: Look for strong support and consolidation before considering entry.
2. Watch for Volume Confirmation: Increased buying volume at support can indicate institutional accumulation.
3. Monitor Key Indicators: Oversold RSI, MACD crossover above zero, or bullish candlestick patterns could signal a potential turnaround.
Potential Trade Plan:
If a strong support emerges, look for confirmation before entering.
If the downtrend continues, stay patient and wait for a reversal signal.
Avoid catching a falling knife.... let the market show clear signs of strength first.
Disclaimer: Please be informed that all stock picks are solely for educational and discussion purposes; they are neither trading advice nor an invitation to trade. For trading advice, please consult your remisier or dealer representative.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.