SOL 4HR Analysis - Will the Bull Channel Breakout Continue!?Solana has broken out of the 4HR bull channel and is beginning to pull back to the channel top. Contact with the channel top is a crucial moment in deciding which direction the price is likely to go. A bull signal bar followed by a 4HR confirmation bar (bull bar closing near its top) is what we're looking for to remain long. A bear bar closing near its low below the channel top gives us the inverse indication, that the price will pull back into the channel.
Key Points:
1. Bull Channel means we should Always be Long.
2. The channel breakout needs to be confirmed
3. There is a gap between current price and 30EMA/200EMA
4. Bitcoin has touched Weekly Channel Resistance
5. RSI is overbought. A weak indicator on its own, but supports #2-#4
Wait for the confirmation in either direction before trading this. We need more information before we can adequately manage a trade with good probability.
As always, trade at your own risk, you are responsible for your trades. I hope this analysis was insightful and useful.
Trade wisely and let us know what you think in the comment section below!
