The price has formed a “symmetrical triangle” pattern on the 4-Hour chart. It is currently below the 4-day EMA which has crossed the 50-day EMA downward below the supply zone of $0.08 inside the symmetrical triangle. The bullish breakout from the symmetrical triangle is imminent.
By Azeez Mustapha
Updated
2 mins read
Supply Zones: $0.08, $0.11, $0.13
Demand Zones: $0.05, $0.04, $0.03
ADAUSD continued ranging in its long-term outlook. The bulls were not able to push the price up beyond last week level of $0.08 due to low momentum. The same way the Bears’ pressure was too weak to push the coin down below $0.08. On the September 19th, the Bulls were able to push the price from the demand zone of $0.05; broke the upper trend line moved toward the dynamic resistance of 50-day EMA and started consolidation at the supply zone of $0.08.
Currently, the price is between the 4-day EMA and the 50-day EMA at $0.08. In case the bulls increase their activities in the market the price will rally to the north. It is an only radical fundamental occurrence that can bring about a significant change in the market this week.
There is a probability that the price may break out of the supply zone of $0.08, move upward towards the upper supply zone of $0.11 should the buyers increase their momentum. Meanwhile, the RSI 14 is at 50-levels pointing downward indicating sell signal. Traders should trade cautiously within the range adopting best range strategy to take a small profit.
ADA/USD on the medium outlook is bearish. The price moved up last week and broke the supply zone of $0.08. The sellers increased their activities in the market with the bearish engulfing candle and the price decreased below the supply zone of $0.08. The price has formed a “symmetrical triangle” pattern on the 4-Hour chart. It is currently below the 4-day EMA which has crossed the 50-day EMA downward below the supply zone of $0.08 inside the symmetrical triangle. The bullish breakout from the symmetrical triangle is imminent.
The RSI 14 is above 40 levels with the signal line pointing upwards. There is a probability for the coin to experience uptrend movement by break out to the north from the symmetrical triangle and rally to the supply zone of $0.11. Traders should patiently watch out for the breakout.
Azeez Mustapha is a specialist in Computer Studies (including DTP), Forex and Crypto trading professional. Being expert technical and currency analyst, as well as experienced fund manager and author of several books, Azeez places strong focus on crypto market studies conducting comprehensive price analyses and sharing forecasts of presumptive market trends.
