Evening Traders,
Today’s Analysis – XTZUSDT- trading in a valid rising wedge, approaching key resistance where a rejection will be plausible,
Points to consider,
- Rising wedge pattern (Bearish)
- 21 MA immediate support
- Daily S/R Resistance (.618 Fibonacci Confluence)
- RSI Respecting Trend
- Stochastics Bearish Divergence
- Volume Below Average
XTZUSDT’s immediate Price Action is trading in a bearish Rising Wedge pattern. This allows us to have a bearish bias on the market.
The 21 MA is acting as dynamic support, as long as price respects this average, XTZUSDT will continue grinding up.
Daily S/R is strong resistance as it is in technical confluence with the .618 Fibonacci. The 200 MA is also lurking from above, an initial rejection here is expected; this may lead to a break of the Rising Wedge.
The RSI is currently testing its trend line; a break will coincide with Price Action rejecting. The Stochastics has a valid bearish divergence and a sell cross, this is indicative of further downside.
Furthermore the current volume is below average, an influx is highly probable when a break up or break down comes to fruition.
Overall, in my opinion, XTZUSDT is a valid short with defined risk; Price Action is to be used upon discretion/ management of trade.
Hope this analysis helps
Thank you for following my work!
And remember,
“The market can stay irrational longer than you can stay solvent.” – John Maynard Keynes
Today’s Analysis – XTZUSDT- trading in a valid rising wedge, approaching key resistance where a rejection will be plausible,
Points to consider,
- Rising wedge pattern (Bearish)
- 21 MA immediate support
- Daily S/R Resistance (.618 Fibonacci Confluence)
- RSI Respecting Trend
- Stochastics Bearish Divergence
- Volume Below Average
XTZUSDT’s immediate Price Action is trading in a bearish Rising Wedge pattern. This allows us to have a bearish bias on the market.
The 21 MA is acting as dynamic support, as long as price respects this average, XTZUSDT will continue grinding up.
Daily S/R is strong resistance as it is in technical confluence with the .618 Fibonacci. The 200 MA is also lurking from above, an initial rejection here is expected; this may lead to a break of the Rising Wedge.
The RSI is currently testing its trend line; a break will coincide with Price Action rejecting. The Stochastics has a valid bearish divergence and a sell cross, this is indicative of further downside.
Furthermore the current volume is below average, an influx is highly probable when a break up or break down comes to fruition.
Overall, in my opinion, XTZUSDT is a valid short with defined risk; Price Action is to be used upon discretion/ management of trade.
Hope this analysis helps
Thank you for following my work!
And remember,
“The market can stay irrational longer than you can stay solvent.” – John Maynard Keynes