Disclaimer: The findings of the next evaluation are the only real opinions of the author and shouldn’t be thought of funding recommendation.
Over the previous week, the development for Fantom, which had been strongly bullish, shifted to a bearish bias because it fell from $2.4 to $1.81.
The winds now seem to have modified as soon as once more, this time in favor of the bulls. For merchants or buyers with a really quick time horizon, Fantom has climbed above an fascinating resistance degree. This may occasionally provide an fascinating shopping for alternative.
FTM- 1 hour chart
On the time of writing, the value broke above its week-long trendline resistance (blue) line. Furthermore, the value was additionally above the 23.6% Fibonacci retracement degree. These retracement ranges have been plotted primarily based on FTM’s downward transfer from $2.4 to $1.81.
Usually, when the value manages to climb above the 23.6% retracement of such a transfer to the draw back and flips the extent to help, additional good points are prone to observe. Due to this fact, if FTM can retest the $1.95-level as help and bounce again to $2, it’s prone to head in the direction of the $2.1-area (pink field).
Take into account the market construction of the previous week as effectively – A gentle downtrend and the newest decrease excessive was made a few days in the past on the $1.99-mark. This was the extent the bulls needed to shut a session above to point a shift in momentum again in favor of the consumers.
The RSI on the hourly chart climbed above impartial 50, and simply as importantly, the RSI climbed above the 60-level on the time of writing too and stood at 62.97. Over the previous couple of weeks, the 62-level noticed some bullish momentum wane on the 1-hour chart for FTM, however this time might be completely different.
The OBV pictured a gradual decline over the previous week, however the previous few days have seen shopping for quantity to be equal to the promoting quantity, creating equal lows on the OBV. This was adopted by a transfer upward – An indication of demand.
The bounce from $1.81 was fueled by some demand, and a break above the $1.99-level might shift the bias again in the direction of the bullish aspect.
A retest of $1.95 as help might be a shopping for alternative, with a goal of the $2.1-resistance space to take revenue at.