Ionomy Double Bottom Formation

Recently Ionomy found the support at $0.72, which has been rejected twice, forming a potential double bottom. During the past few days price has been rising slowly, however it has resulted in a break above the 50 Moving Average.

Considering the double bottom formation, MA breakout as well as the RSI downtrend trendline breakout, the trend could be on its way up. It looks like first signs of the trend reversal slowly appear, although it is still far to early to say that with confidence.

If current support hold and price will break above the psychological resistance at $1, the correctional move up is likely to take place. ION/USD should move up, towards the 61.8% Fibonacci retracement level, that is $2.4 area.

On the downside, there might be yet another small wave down, but only weekly break and close below the $0.72 support could invalidate bullish outlook, and the downtrend continuation might take place.