XLM Stellar - Bullish divergence picking up, after BTC shakedown
This is Stellar XLM !
I’ve seen this going down and down and down for weeks. A couple of weeks ago, we saw this nice bullish divergence on the EFI and the MACD-H indicators.
It was going up pretty healthy and ready for a rally, only to be hit by BTC , which was barting down.
As a result, alts were hugely red, and XLM was no exception. It gave back the gains, but hung on the 0.08202 line, which became support the days after that.
It continued consolidating, and had a false breakout that broke the local 0.08202 support line.
After that, we tend to see a new uptrend, and since then the 21 day EMA is up, and prices are above the EMA with the EMA itself serving as support.
today we broke the previous high, tracing a new higher high, and supported with huge volume .
To me, this looks like a good chance for a reversal of this bearish trend , and starting of a new uptrend.
I will watch this closely and use my own system to scalp on the shor timeframes if I have time.
As always, my targets are flexible, and I will assess the situation. Targets are never fixed according to me, but to get an idea:
Entry: Around 0.10
Target 1 0.14158 A previous breakout, now being a possible resistance
Target 2 0.1863 Previous support zone
Stoploss 0.08635 Current EMA level. If we get down to this, I want to get out and reassess. It could be that we can then re-enter, if we bounce on this local support.
R/R Ratio
Target 1 1:3
Target 2 1:5,7
