Hi friends! I hope you're all doing well. Looking at the four hour chart for Stellar, we can see that after breaking support, at the top of the ascending broadening wedge (blue dashes,) XLM has dropped into a bear flag of some sort. Red volume has spiked on the chart, and sell-side momentum continues to increase on the MACD. More downside is likely, and and a possible target is the 200 EMA (in purple,) which currently corresponds with the 61.8% retrace. Look for prices to fall to $0.40. For the bulls to regain this market, they need to get prices back above the ascending broadening wedge.
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
If we get back above the wedge, what say you of it? Thanks for your thoughts! Im frantically going to HODL! Could be in for the long run if you are right about more down. Sorry I hope you are wrong :]
MagicPoopCannon
⋅
@GrantWierson, Thank you for commenting! If we get back above the wedge, that would definitely be a sign of renewed strength, and I would look for a continuation higher. The upside resistance would be near the 23.6% retracement area, and then the all time high. Good luck trading!