Weekly time frame analysis
BNBUSDT
was one of the best performers of the last bull run.
BNB retained its value relatively well ("only" -70% from ATH) during the bear market and formed a clear support zone around the 200$ mark from which it seems to currently be bouncing back to initiate the next impulse.
The Bollinger bands are very contracted and flat, announcing a strong potential move.
Daily time frame
After a steep decline in June 2023, BNB is constructing a reversal Head and Shoulders pattern on a strong multi-year support zone. Volumes confirm the psychological construct of this trend reversal pattern.
Strategy
Buying on a daily close above 235$
Invalidation
Mental Stop: below the shoulder at 220$
If prices retrace to this level we will wait for the daily closing price then set a Stop loss ¼ or Risk below the daily close price.
Risk = Distance between Mental stop and entry point.
BNBUSDT
was one of the best performers of the last bull run. BNB retained its value relatively well ("only" -70% from ATH) during the bear market and formed a clear support zone around the 200$ mark from which it seems to currently be bouncing back to initiate the next impulse.
The Bollinger bands are very contracted and flat, announcing a strong potential move.
Daily time frame
After a steep decline in June 2023, BNB is constructing a reversal Head and Shoulders pattern on a strong multi-year support zone. Volumes confirm the psychological construct of this trend reversal pattern.
Strategy
Buying on a daily close above 235$
- Objective 1: Head and Shoulders neckline at 261$ (+12%)
- Objective 2: Top of the range at 336$ (+45%)
- Objective 3: ATH at 665$ (+190%)
Invalidation
Mental Stop: below the shoulder at 220$
If prices retrace to this level we will wait for the daily closing price then set a Stop loss ¼ or Risk below the daily close price.
Risk = Distance between Mental stop and entry point.
Comment:
Objective 2 (336$) has been reached yesterday ✅
Prices just quickly touched this identified level and are starting a consolidation after this first impulsive move upward.
Some profits were taken as planned and the remaining amounts are still targeting the next objective.
To be continued...
Prices just quickly touched this identified level and are starting a consolidation after this first impulsive move upward.
Some profits were taken as planned and the remaining amounts are still targeting the next objective.
To be continued...
Objective 1 has been reached on Dec 20th at 261$
Congrats and Happy Xmas!
The weekly close above the Bollinger Bands is hinting at a potential strong move upward. Let's keep an eye on it in the coming days.