12/25 Christmas Eve Strategy
1. Price and trend analysis
• Price: The current price is 1.8872, with an increase of **+30.70%** in 24 hours, still in a strong upward trend.
• Moving Average:
• **EMA7 (1.8758): **Price remains above EMA7, indicating a strong short-term trend.
• **EMA25 (1.8057): **Shows medium-term trend support is intact.
• **EMA99 (1.6690):** Prices are well above the long-term moving average, indicating that the market is in a clear bullish trend.
2. Technical indicator analysis
• MACD:
• **DIF and DEA are positive and continue to rise, and the red column is shortened. ** shows that the power of bulls is gradually weakening, but there is no obvious callback signal yet.
• RSI (Relative Strength Index):
• The RSI is 66~68, indicating that the market is close to the overbought area, but has not reached the limit. It may continue to rise in the short term, but we need to be alert to the risk of a correction.
• STOCH RSI (Stochastic Indicator):
• STOCH RSI is 57.39~72.68, indicating that price momentum is still high and there is the possibility of an upward shock.
3. Trading volume and market sentiment
• **Trading volume: **Trading volume remains high, but slightly decreased, indicating that buying orders are gradually weakening, and attention should be paid to whether profit taking will occur.
• **Market Sentiment:** The market is still dominated by bulls, but the price is approaching the psychological pressure zone, which may attract shorts to enter the market.
4. Suggest operational strategies
Long (bullish) operations:
• If the price exceeds 2.00, it may attract more funds to enter the market. You can follow the long position in the short term, but you need to be careful to set the stop loss below 1.85.
Short (put) operation:
• If the price shows a significant correction (for example, if it falls below EMA7, which is 1.8750), you can consider gradually adding short positions, with the target support levels of 1.80 and 1.75.
Risk management:
• Both long and short parties need to set stop loss levels to avoid excessive losses caused by sharp market fluctuations.
• Stop loss level:
• Long stop loss: below 1.85.
• Short stop loss: above 2.00.
5. Summary
The market is still in a bullish trend, but the upward momentum is beginning to weaken, and we need to be alert to the risk of short-term corrections. It is recommended to operate with caution and respond flexibly to market changes based on personal position conditions.
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