Today analysis – MITHBTC – Forming a higher low, consolidating above daily support validating a long trade to technical targets above.
Points to consider:
- S/R flip Retest (trend reversal)
- 100 EMA (support confluence)
- Inverse head and shoulders
- Low volume
- Oscillators neutral
MITHBTC trading in a healthy uptrend forming a lower high with a valid S/R flip retest of daily support, establishing a bullish bias with signs of a macro trend reversal.
Price breaking above and respecting the 100 EMA allows for an additional layer of support. Holding above the MA is bullish, supporting the bias for a trend continuation.
A valid inverse head and shoulders (bullish trend reversal pattern) is also in play as price holds above the neckline coinciding with daily support.
Volume has tapered off and trading below average, an influx is essential as price gravitates towards daily support to avoid any false breaks and restore strength in the anticipated trend continuation.
Both, RSI and Stochastics are testing the 50 levels as volatility contracts. Although further price action will allow for directional bias, it is essential oscillators hold above 50 to maintain a bullish bias.
Overall, In my opinion, a long trade is validated as MITH retraces to daily support with technical targets above - defining risk (SL) at the previous swing low.
If you’ve read this far - thank you for following my work!
And as always,
Focus on you, and the money will too!
Points to consider:
- S/R flip Retest (trend reversal)
- 100 EMA (support confluence)
- Inverse head and shoulders
- Low volume
- Oscillators neutral
MITHBTC trading in a healthy uptrend forming a lower high with a valid S/R flip retest of daily support, establishing a bullish bias with signs of a macro trend reversal.
Price breaking above and respecting the 100 EMA allows for an additional layer of support. Holding above the MA is bullish, supporting the bias for a trend continuation.
A valid inverse head and shoulders (bullish trend reversal pattern) is also in play as price holds above the neckline coinciding with daily support.
Volume has tapered off and trading below average, an influx is essential as price gravitates towards daily support to avoid any false breaks and restore strength in the anticipated trend continuation.
Both, RSI and Stochastics are testing the 50 levels as volatility contracts. Although further price action will allow for directional bias, it is essential oscillators hold above 50 to maintain a bullish bias.
Overall, In my opinion, a long trade is validated as MITH retraces to daily support with technical targets above - defining risk (SL) at the previous swing low.
If you’ve read this far - thank you for following my work!
And as always,
Focus on you, and the money will too!