USUAL consolidating for a breakout, rebound or decline?
Support and resistance level analysis:
• Current price: $0.9696
• Key support level: $0.9383 (recent low)
• Secondary support level: $0.8645 (strong support)
• Short-term resistance level: $0.9801 (MA7)
• Strong resistance level: $1.0359 (24-hour high)
Technical analysis:
1. Moving average trend: The price is consolidating between the MA7 and MA25 moving averages, overall displaying a weak pattern, with the MA99 still forming strong resistance above.
2. MACD signal: DIF and DEA are close to the zero axis, showing weak momentum, with green bars shortening and a slight red bar appearing, but lacking sufficient momentum.
3. Volume observation: Trading volume remains sluggish, indicating strong wait-and-see sentiment from both bulls and bears in the market.
Strategy suggestions:
• Bearish strategy: If the price falls below $0.9383, consider shorting with a light position, setting a stop loss at $0.9600, targeting $0.8645.
• Bullish strategy: If it breaks above $0.9801, enter a long position with a light position, targeting $1.0359 and $1.1030, with a stop loss set at $0.9600.
Risk warning:
The current market is in a consolidation stage, trading should be cautious, avoid chasing highs or bottom-fishing, and strictly adhere to profit-taking and stop-loss measures.
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