Technical analysis $ME /USDT pair, along with trade signals, target levels, and trade momentum:
Current Price: $5.107
Resistance Levels:
$5.5 (short-term resistance)
$5.8 (next significant resistance)
$6.0 (strong resistance)
Support Levels:
$4.92 (short-term support)
$4.75 (next strong support)
$4.50 (major support)
Trend Analysis:
The recent price action suggests a downward trend, with a price correction after hitting the $6.013 high.
The RSI (Relative Strength Index) is likely in the oversold zone below 30, indicating a potential bounce, but confirmation of momentum reversal is necessary.
The price action is testing a support zone near $4.92, which could lead to a potential rebound if the support holds.
Trade Signals
Long Entry Signal:
Enter a long position if ME/USDT price breaks and holds above the $5.2 resistance level. This confirms a potential upward trend reversal.
Short Entry Signal:
Consider a short position if the price drops below $4.92, indicating a continuation of the bearish trend.
Momentum:
Bullish Momentum: If the price breaks above $5.20 and shows a bullish continuation, aiming for $5.5, $5.8, and $6.0.
Bearish Momentum: If the price falls below $4.92 and moves toward the next support levels at $4.75 and $4.50.
Target Levels 🎯
1. First Target: $5.50 – A short-term resistance level that could be reached if the price breaks the $5.20 zone. Expect some resistance here.
2. Second Target: $5.80 – A significant level that aligns with previous highs and major resistance.
3. Third Target: $6.00 – A major resistance zone. A break above this level could trigger more upside momentum.
Trade Momentum & Risk Management
Momentum:
Look for bullish candles and strong volume as confirmation of upward momentum.
For short trades, watch for consistent bearish candles, price rejection at key resistance, and weakening momentum indicators like the RSI and MACD.
Stop-Loss:
For long trades, place a stop-loss just below $4.92 to minimize risk.
For short trades, place a stop-loss above $5.20.