Here’s a detailed technical analysis of the POL/USDT chart from the provided screenshot:
Timeframe: 4H (4-Hour)
Key Observations:
1. Exponential Moving Averages (EMAs):
• The 50 EMA (purple) is currently above the 200 EMA (blue), indicating a bullish crossover. This shows that the mid-term trend remains bullish.
• Price is trading above both EMAs, suggesting strong bullish momentum in the short term.
2. Volume Analysis:
• A slight decline in volume during the current pullback suggests consolidation rather than aggressive selling. This can indicate the possibility of continuation to the upside.
3. Relative Strength Index (RSI):
• The RSI (6) and RSI (12) are in the mid-50s, suggesting that the price is neither overbought nor oversold, leaving room for further upside.
• The RSI is trending downward slightly, which aligns with the ongoing pullback.
4. On-Balance Volume (OBV):
• The OBV is trending upward overall, which supports the idea that the recent rallies were driven by increasing demand. This is a bullish sign.
5. Resistance and Support Levels:
• Resistance:
• The recent high of $0.4731 is a critical level of resistance. A breakout above this level could trigger another rally.
• Support:
• Immediate support is at the 50 EMA (~$0.4011).
• Stronger support lies at the 200 EMA (~$0.3729), aligning with historical consolidation levels.
6. Candlestick Patterns:
• The recent long wick at the resistance level ($0.4731) shows selling pressure, suggesting some hesitation near the high.
