Breaking above THIS level can mean more bullish price action
The current situation:
1. Price action has formed a double bottom on the 1HR chart, which is a bullish pattern with the neckline at about 4.45 USD and a measured target of about 4.75 USD. Currently, the 1HR 50MA and the 0.786 Fib level (the gold line) are acting as resistance.
2. There is bullish divergence on the 4HR chart so it could be a catalyst for a reversal IF it plays out.
The bullish case: price action has to break above the neckline at about 4.45 USD, at which there will be an S/R flip of the 0.786 level.
The bearish case: price action gets rejected at the 0.786 Fib level at about 4.35 and continues downward.
*Let me know in the comment section if you agree or disagree, would love to hear your ideas too.
*These are purely my speculations and not financial advice. You should always do your own due diligence before trading or investing.
1. Price action has formed a double bottom on the 1HR chart, which is a bullish pattern with the neckline at about 4.45 USD and a measured target of about 4.75 USD. Currently, the 1HR 50MA and the 0.786 Fib level (the gold line) are acting as resistance.
2. There is bullish divergence on the 4HR chart so it could be a catalyst for a reversal IF it plays out.
The bullish case: price action has to break above the neckline at about 4.45 USD, at which there will be an S/R flip of the 0.786 level.
The bearish case: price action gets rejected at the 0.786 Fib level at about 4.35 and continues downward.
*Let me know in the comment section if you agree or disagree, would love to hear your ideas too.
*These are purely my speculations and not financial advice. You should always do your own due diligence before trading or investing.