ADA Updated Weekend Targets

Hello from quarantine! Let's have a look at where we might expect Cardano (ADA) to move this weekend.

With DXY pulling back wonderfully well during the week, we’ve seen Crypto and other more speculative asset prices hike back up into a well deserved rally. We ended the week in an indecisive spot on the charts, with weaker overhead short-term resistance at 95.6 and stronger long-term resistance at 96.6, and a strong multi-variable support at 95.2. We’ll know which way we’re more likely to move come Monday morning based on price action in crypto over the weekend. If we push strongly above the weak resistance at 95.6, I expect the FEAR levels to rise again, and quickly.


In terms of ADA specifically, the volatility in price action continues to be muted relative to many other alt coins. Which signals to me, bearded little market-gnomes have located their loot and are mining the gold-veins in the dark. Their presence at the surface will become known soon enough. But we must make our decisions based on what we can see and know today.

After failing a larger, well-formed W reversal pattern to close out the month of January, we’ve since formed a smaller W pattern that broke out to my upside targets since yesterday.

I cleared out my LONGs at between 1.155 - 1.175, and moved into building a short position for the retrace. I’m looking to close it between 1.10-1.11, then wait to see if there’s not further downside to 1.05, where we have a clear point of control forming in terms of volume traded for ADA since the start of the year.

I’m short-term bullish, with 1.15 being the first of the 3 (or 4) typical moves market makers make once they’ve decided to make a new local trend, on the 1 to 2 day timescale.


Clearly there will be strong resistance at 1.22 and between 1.30-1.33 levels, where the market has been trading heavily since the summer. How many folks out there under water will want to sell-out of their positions just to break even!? I’m going watch those levels for opportunities to build short positions, though I won’t hold onto to them with much conviction, as the next larger moves to the upside could be realized at any point now, since I still hold the thesis that we’re in the bull cycle and this 2nd 50-80% pullback we’re experiencing is par-for-course, as the old gold adage suggests, completely expected and necessary pain required for the larger ‘blow-off top’ type gains many of us still await.

The good news is we’ve begun filling in the base support between 1.15 and 1.00. If we fail to hold 1.00 and close a weekly candle below 1.00, watch out below! But for now, I’m optimistic that we very well still have upside ahead, with a target of 1.30 for the upcoming week, assuming we don’t already hit it during the weekend. Either way, we have a lot of work (volatility) ahead.

So don’t start opening trades and getting to comfortable folks! Set your stop-losses, and TAKE PROFITS when you’re in the green. I’m putting buy/sell limits at the edges of my range, so if the market heats up or jumps into the cryo-cold-chamber for a quick wick, I’m getting a decent risk-reward for retrace.

Weekly Wick Retest Retrace targets:
Top - 1.30-1.33 (sell)
Bot - 1.02-1.05 (buy)

Be safe out there!