Strcuture/Trend - Still in the looming downtrend, The XRP/USD has risen from its intraday low near 0.26699 to retest its September 5’s lower high near 0.32994-fiat. The pair yawned through the early trading session, consolidating sideways within a stiff range. The upside momentum began building only when the european markets woke up. And, quite abnormally, XRP/USD jumped violently during the mid-session, forming one higher high after another. And as the US session comes into play, the pair has already established a new intraday high near 0.32859. This is probably owed to fundamental reasons.
Hypothesis - Given this sudden jump after the bollinger bands had tightened for a while on the 2H chart(which proves the theory of a breakout when such is seen), this momentum could be valued to see if a sell-off after the jump would be in place. Going through the 4H & 2H charts it could be seen that some bearish pressure came after the RSI read oversold and the candles were outside the bands owing to some correction. The noted resistance at 0.3397 is seen to be respected. With this bearish pressure, I expect a rise back to 0.3251 level followed by another selloff because the RSI high reading could signify a correction back to the Moving line average of the BB.
Targets, Stops, Exits -
Entry - 0.3251
S/L - 0.3000
T/P -0.3366
Hypothesis - Given this sudden jump after the bollinger bands had tightened for a while on the 2H chart(which proves the theory of a breakout when such is seen), this momentum could be valued to see if a sell-off after the jump would be in place. Going through the 4H & 2H charts it could be seen that some bearish pressure came after the RSI read oversold and the candles were outside the bands owing to some correction. The noted resistance at 0.3397 is seen to be respected. With this bearish pressure, I expect a rise back to 0.3251 level followed by another selloff because the RSI high reading could signify a correction back to the Moving line average of the BB.
Targets, Stops, Exits -
Entry - 0.3251
S/L - 0.3000
T/P -0.3366