The 4 hour timeframe chart of Monero (XMRUSD) is shown in this analysis and commentary based on the numbers indicated on the chart is given below:
(1) This is a falling wedge (diagonal) chart pattern that captures the price of Monero (XMRUSD) from the peak in price at ~$477.00 to current date. Also noted within the chart pattern is another falling diagonal if the dotted blue lines starting from ~$298.63 on March 5, 2018 is considered with the bottom red line for the wedge.
The bottom of the wedge did provide support on December 21, 2017 and most recently on July 10, 2018, hence making it valid.
A falling wedge pattern is ideally bullish and a close outside of the outer wedge (top red line) as indicated on the chart implies bullish action in Monero.
(2) Resistance in Monero (between ~$196.93 and $174.07) as shown here does intersect the top line of the wedge (also resistance). It is therefore very important to pay attention to this region in order to be able to better assess the potential for further bearish action or resumption of an uptrend.
(3) ~$87.50 and $68.01 is identified in this analysis as the support region in Monero with price respecting the lower and upper boundary of support. The latest, successful test of the support region is provided by downward price spike (on July 10, 2018), which also coincides with the bottom of the falling wedge indicating strong support for Monero.
The conclusion of this analysis therefore is that Monero is considered to be in a downtrend to a side trend (at best). Chances of entering a long position is better established at the close of price above the upper line of resistance ($196.93) and above the upper line of the wedge.
(1) This is a falling wedge (diagonal) chart pattern that captures the price of Monero (XMRUSD) from the peak in price at ~$477.00 to current date. Also noted within the chart pattern is another falling diagonal if the dotted blue lines starting from ~$298.63 on March 5, 2018 is considered with the bottom red line for the wedge.
The bottom of the wedge did provide support on December 21, 2017 and most recently on July 10, 2018, hence making it valid.
A falling wedge pattern is ideally bullish and a close outside of the outer wedge (top red line) as indicated on the chart implies bullish action in Monero.
(2) Resistance in Monero (between ~$196.93 and $174.07) as shown here does intersect the top line of the wedge (also resistance). It is therefore very important to pay attention to this region in order to be able to better assess the potential for further bearish action or resumption of an uptrend.
(3) ~$87.50 and $68.01 is identified in this analysis as the support region in Monero with price respecting the lower and upper boundary of support. The latest, successful test of the support region is provided by downward price spike (on July 10, 2018), which also coincides with the bottom of the falling wedge indicating strong support for Monero.
The conclusion of this analysis therefore is that Monero is considered to be in a downtrend to a side trend (at best). Chances of entering a long position is better established at the close of price above the upper line of resistance ($196.93) and above the upper line of the wedge.
