Graphic Analysis
1. General Appearance and Formation
On the chart, the triangle formation is clearly visible and the price is seen to be compressed and approaching a significant breakout point. Triangle formations can be quite critical in determining the direction of the price. The price usually shows a strong breakout after this compression.
2. Support and Resistance Levels
• Support Levels: 0.009013 and 0.008426 levels stand out as important support areas. These levels can create strong buying pressure on the downward movement of the price.
• Resistance Levels: The first significant resistance is at 0.010540, followed by 0.012486 and the strongest resistance is at 0.014938. These resistance levels can be evaluated as profit taking points if the price experiences an upward breakout.
3. Indicators
• Volume: When a breakout occurs from the top or bottom of the triangle, the increase in volume should be monitored carefully. Rising volume will confirm the strength of the breakout.
• Moving Averages: The price is struggling to stay above the moving averages, which suggests bulls are dominant, but a clear breakout confirmation is needed.
4. Formation and Rotation
• Formation: The triangle formation is about to be completed and the price action is at a critical point. An upward breakout could bring a strong movement towards the target levels of the formation.
• Potential Breakout: If there is an upward breakout, targets may be at 0.012486 and 0.014938 levels, respectively.
5. Trend Direction
• Short Term Trend: Neutral, but the breakout direction will determine the trend.
• Medium Term Trend: If an upward break occurs, an uptrend may begin.
6. Strategy and Recommendations
1. Waiting for the Breakout: The price should be expected to break the upper limit of the triangle (0.010540 level) with volume. Once the breakout confirmation is received, the upside potential should be evaluated.
2. Buying Strategy: With an upward break and volume increase, targets can be set towards the levels of 0.012486 and 0.014938. Gradual profit purchases can be made at these levels for buying positions.
3. Stop-Loss: For risk management, it is recommended to use stop-loss if the price falls below the 0.009013 support.
4. Breakout to the Downside: In a breakout to the downside, the price is likely to decline towards support levels and buying opportunities will occur at lower levels.
7. Conclusion and Comment
This chart represents a critical moment of decision. If the price breaks the upper band of the triangle, a strong uptrend may occur. It will be safer to trade when volume confirmation is received. Otherwise, it is important to protect positions with a stop-loss in case of a drop below support levels.
