APU: How To Play The Next Steps!

APU delivered a fantastic performance today. The token is one of the top gainers, jumping +27%.

Therefore, the token is worth examining closely. Let’s break down the setup and decide if it’s worth entering right now.

Key Chart Observations

• Trendline Break: APU recently broke above a critical trendline between 0.00032 and 0.00034, creating a strong signal of a shift in momentum.

• Inverse Head & Shoulders Pattern: The breakout is reinforced by forming an inverse head & shoulders pattern (a classic bullish setup). Although the volume doesn't support the pattern, the price action currently endorses the move.

Caution Points:

Despite the bullish sentiments, we also have two caution points.

• Retest Potential: Typically, head-and-shoulders patterns see a retest of the breakout level before continuing the trend and moving much higher.

• Overbought RSI: The RSI has entered the overbought territory, signaling that the price could take a breather before further upside.

Trade Setup

Based on the caution points, the best approach from my POV might be some more patience. I will wait for a potential retest of the breakout level and then look for a bounce from the neckline support. If the RSI cools down during this pullback, it offers a better and less risky entry.

If the retest and bounce play out, a move toward 0.0009 seems like a realistic target based on this setup.