Verge printed a bullish signal on the daily chart and prepares for some upside momentum.
Here's What Has Happened 👇
XVG printed a bullish MACD crossover on the daily chart. Simplified speaking, this happens when a shorter-term moving average moves above a longer-term average. Practically, it tells you that the token is getting some upward momentum, which likely leads to a further price increase.
Signal Details 🧐
The signal flashed on the daily chart and had extraordinary backtest results. Based on 26 historical signals, XVG gained over 10% after signals flashed in 80% of their occurrence.
Other Technical Indicators 💹
Most momentum indicators are in the neutral zone and support the signal. Many trend indicators have turned bullish or are about to turn bullish. Additionally, the ADX shows a strong trend and should help to realize the signal gains.
What about the chart 📊
XVG's 1D chart perfectly supports the signal. XVG has found strong support at $0.004 and bounced nicely. The signal's profit potential (~10%) aligns with the next resistance at 0.0046. If Verge breaks through this resistance, 0.005 is on the radar.
Trade Setup ✅
Aligning with the automatically calculated 10% potential, I would go for a first take profit at 0.0046. Closing 50% of the trade at this level is reasonable. Additionally, the stop loss should be moved below 0.0046.