SNAP daily, it's showtime!SNAP has had a nice pullback after earnings, and now it is low basing on the 50-day MA and at the 0.618 FIB retracement and $10 even dollar amount, which acts as a magnet line. It is unbelievable how these areas of support or resistance are valid if we draw or mark them correctly. SNAP will have to decide if this is a bull pullback or if, after a low base breakdown, we will see new lows.
Volume is falling with consolidation, which is a good sign for the possibility of a bull pullback.
The price is below all major MA, which is bearish.
RSI has cooled down after an extreme and is now neutral.
MACD is ticking lower while both the MACD line and signal line are at the zero areas, or the "to be or not to be" area. If it drops below the zero line, then we can't watch for a bull pullback anymore.
Overall: SNAP is in a dangerous area for bulls. It is low basing at a major support line. If it breaks down from the low base formation and breaks below the blue dotted line, a short position would be triggered. The first area of support after that breaking low base would be the trend line, the blue dotted line, and if that would not hold, support would be the lows from 2022, the blue area of support.
However, if SNAP finds its buyers and we start to move up on strong volume, this would be the perfect area for a bull pullback to be triggered. But remember, a bull pullback can only be triggered if it does not drop below the 0.618 FIB retracement area, meaning the price cannot drop more for us to call this a bull pullback.
