- The bullish breakout from the symmetrical triangle is imminent;
- confirmation of the symmetrical triangle pattern on 4-Hour chart;
- traders should patiently watch out for the breakout.
ADA/USD Price Long-term Trend: Ranging
Supply Zones: $0.08, $0.11, $0.13
Demand Zones: $0.05, $0.04, $0.03ADAUSD continued ranging in its long-term outlook. The bulls were not able to push the price up beyond last week level of $0.08 due to low momentum. The same way the Bears’ pressure was too weak to push the coin down below $0.08. On the September 19th, the Bulls were able to push the price from the demand zone of $0.05; broke the upper trend line moved toward the dynamic resistance of 50-day EMA and started consolidation at the supply zone of $0.08.
Currently, the price is between the 4-day EMA and the 50-day EMA at $0.08. In case the bulls increase their activities in the market the price will rally to the north. It is an only radical fundamental occurrence that can bring about a significant change in the market this week.
There is a probability that the price may break out of the supply zone of $0.08, move upward towards the upper supply zone of $0.11 should the buyers increase their momentum. Meanwhile, the RSI 14 is at 50-levels pointing downward indicating sell signal. Traders should trade cautiously within the range adopting best range strategy to take a small profit.
ADA/USD Medium-term Trend: Bearish
ADA/USD on the medium outlook is bearish. The price moved up last week and broke the supply zone of $0.08. The sellers increased their activities in the market with the bearish engulfing candle and the price decreased below the supply zone of $0.08. The price has formed a “symmetrical triangle” pattern on the 4-Hour chart. It is currently below the 4-day EMA which has crossed the 50-day EMA downward below the supply zone of $0.08 inside the symmetrical triangle. The bullish breakout from the symmetrical triangle is imminent.
The RSI 14 is above 40 levels with the signal line pointing upwards. There is a probability for the coin to experience uptrend movement by break out to the north from the symmetrical triangle and rally to the supply zone of $0.11. Traders should patiently watch out for the breakout.