ADAUSDT. Short term bearish movement. Then, bounce.
We have a large falling wedge pattern with a small head and shoulders pattern inside of it.
We also have a potential bearish MACD cross and the Lux Algo indicator flashed a "strong" sell signal.
This suggests short term bearish movement until we test the bottom of the falling wedge. Then, we will proceed higher since falling wedges break bullish around 68% of the time.
I have indicated on the chart the best place to accumulate which is in between $2.211 and $2.078. This area also shows that we have strong VPVR support.
The 200 MA, indicated by the yellow moving average, will likely move up and also act as support for the price action when it hits that price range.
$2.00 is a psychological level of support and I doubt it will close below that level on the daily timeframe.
There's lots of confluence that suggests the price action will bounce off of the lower trend line of the falling wedge if the head and shoulders pattern plays out.
We also have a potential bearish MACD cross and the Lux Algo indicator flashed a "strong" sell signal.
This suggests short term bearish movement until we test the bottom of the falling wedge. Then, we will proceed higher since falling wedges break bullish around 68% of the time.
I have indicated on the chart the best place to accumulate which is in between $2.211 and $2.078. This area also shows that we have strong VPVR support.
The 200 MA, indicated by the yellow moving average, will likely move up and also act as support for the price action when it hits that price range.
$2.00 is a psychological level of support and I doubt it will close below that level on the daily timeframe.
There's lots of confluence that suggests the price action will bounce off of the lower trend line of the falling wedge if the head and shoulders pattern plays out.