Formation and Formation Reversals
• A clear symmetrical triangle formation is observed on the chart. Such formations are generally accepted as continuation formations and a breakout is expected according to the direction of the trend.
• The breakout of the symmetrical triangle occurred upwards, which increases the probability that the price will continue its uptrend.
Trend Direction
• The general trend is up. The breakout from the previous horizontal consolidation indicates a strong trend formation.
• After the breakout, the price seems to have consolidated in the short term and is preparing for a new wave of action.
Target and Prices
• The target of the triangle formation generally gives a movement distance equal to the height of the formation.
• In this case, the target area on the chart is determined as 2.75-2.90 USD. This represents an increase of approximately 15-20%.
• In the bigger picture, movements above 3 USD can be expected in the long term.
Support and Resistance Levels
• Support Levels: 2.35 USD and 2.20 USD stand out as critical support levels.
• Resistance Levels: 2.60 USD and 2.75 USD appear to be strong resistance levels.
Indicators
• The moving averages on the chart may have acted as support, but a more detailed indicator analysis was not performed.
• If oscillators such as RSI or MACD are added to the indicators, it can be useful to confirm whether it is in overbought or oversold territory.
Strategy and Recommendations
1. Breakout Confirmation: After the price broke the triangle formation, the upward volume movement has been confirmed. This is a positive signal for a buy strategy.
2. Targeted Trading: First target is 2.60 USD, then 2.75 USD. Long-term targets can be 3.00 USD and above.
3. Risk Management: A pullback below 2.35 USD could question the uptrend. Therefore, it would be logical to place the stop-loss level slightly below this area.
4. Volume Monitoring: It is important to monitor the volume increase to ensure the continuation of the rise. Volumeless increases may not be sustainable.
While there are clear upside expectations, market conditions and volatility should be taken into consideration. Trading at these levels optimizes the strategy.