The overall price direction shows a transition from a downtrend to an uptrend, which can be broken down into 3 phases:
Strong Downtrend: At the beginning of the chart, the price declined sharply, dropping from levels above 2.50 to 1.89708 (lowest point).
Consolidation and Correction Phase: After reaching the low, the price started to consolidate and attempt to form a bottom. Several buy signals (green triangles) appeared at the bottom, indicating a potential reversal.
Clear Uptrend: Starting from the middle of the chart, the price began forming higher highs and higher lows, with moving averages crossing upwards, signaling a positive trend continuation.
The main reason for identifying the trend as currently bullish is:
Bullish Indicators
Bearish Indicators
Conclusion
Strong Downtrend: At the beginning of the chart, the price declined sharply, dropping from levels above 2.50 to 1.89708 (lowest point).
Consolidation and Correction Phase: After reaching the low, the price started to consolidate and attempt to form a bottom. Several buy signals (green triangles) appeared at the bottom, indicating a potential reversal.
Clear Uptrend: Starting from the middle of the chart, the price began forming higher highs and higher lows, with moving averages crossing upwards, signaling a positive trend continuation.
The main reason for identifying the trend as currently bullish is:
- Price recovery to 2.50 after forming a bottom at 1.89.
- Moving averages crossing upward.
- Increased buying momentum, as seen in technical indicators.
Bullish Indicators
- Breakout above previous resistance at 2.30, allowing price to rally towards 2.50.
- Moving Averages (MAs) show a positive trend, with price trading above the blue and red lines, indicating continued upward momentum.
- Buy signals (green triangles) at lows, suggesting strong buying pressure.
- Relative Strength Index (RSI) surpassing 60, indicating bullish momentum.
- Increased trading volume during upward moves, confirming buying strength.
Bearish Indicators
- Sell signals (red triangles) at resistance levels, which may indicate a price rejection or strong resistance around 2.50 - 2.52.
- Price approaching a key resistance at 2.52, where it might struggle to break through without additional momentum.
- RSI approaching overbought territory (near 80), which could signal a potential pullback.
- High price volatility with a sudden spike, which may lead to short-term profit-taking.
Conclusion
- Overall Trend: Bullish after breaking out of the consolidation phase.
- Potential Upside Targets: If the price breaks 2.52, it could target 2.60 - 2.70.
- Support Levels: 2.30, followed by 2.10 (in case of a pullback).
- Resistance Levels: 2.52, then 2.60.
- Expected Scenario: As long as price holds above 2.30, the bullish trend remains intact. However, if 2.52 is rejected, a slight pullback may occur before resuming the uptrend.
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.