The blue line represents an area that previously served as a strong support floor before being impulsively broken through. In theory, when the price returns to it, it will act as a ceiling (resistance).
A diagonal line indicates a short-term uptrend (minor trend). The current price appears to be attempting to break this trend line downwards.
If the price is unable to bounce back to $0.3000 and instead breaks through the local low at $0.2811, then the entry scenario at the blue line may not be picked up.
Volume during the last bounce (early April) appears quite stable. There are no signs of significant distribution (high selling volume) in the current area. Wait for a surge in selling volume to confirm that this short-term uptrend is over.
The challenge is simply to be patient in waiting for the price to pick up the area or deciding whether to chase the price if it immediately dives from the current level.
A diagonal line indicates a short-term uptrend (minor trend). The current price appears to be attempting to break this trend line downwards.
If the price is unable to bounce back to $0.3000 and instead breaks through the local low at $0.2811, then the entry scenario at the blue line may not be picked up.
Volume during the last bounce (early April) appears quite stable. There are no signs of significant distribution (high selling volume) in the current area. Wait for a surge in selling volume to confirm that this short-term uptrend is over.
The challenge is simply to be patient in waiting for the price to pick up the area or deciding whether to chase the price if it immediately dives from the current level.
Trade closed: stop reached
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.