SOL Market Analysis Summary
I. Price Increase and Correction
- Rebound Strength: The increase from the lowest point to the highest point in this round is about 65%, but there has been a continuous decline over the past 4 trading days, resulting in a technical correction, breaking through the key level of $147.84 (Fibonacci 0.382 level).
- Bull-Bear Boundary: If it can rise above $147.84 in the short term, the bullish trend may continue; if it cannot stabilize, the bears may counterattack.
II. Technical Indicator Signals
- KDJ Indicator: The J line and K line are tilted downward after being overbought, and a dead cross with the D line is about to form, indicating a short-term weakening of bullish strength and facing correction pressure.
- MACD Indicator: The fast line and slow line continue to operate below the zero axis (underwater), with gradually shrinking volume and insufficient bullish momentum.
- Bollinger Bands: The middle track of the daily Bollinger Bands supports around $130; if it breaks below, it may further probe downwards, and the gains and losses of the middle track are key in the short term.
III. Key Levels and Outlook
- Resistance/Support: $133.06 has served as a key resistance/support level for 7 consecutive trading days; this correction needs to pay attention to this level's hindrance or support for rebounds.
- Risk Warning: If there are no favorable news stimuli, a technical correction may continue in the short term, with lower targets looking toward the lower track of the Bollinger Bands or the middle track support at $130.
IV. Operational Suggestions
- Aggressive Strategy: If it stabilizes at the middle track of $130, a light position can be taken to try going long, targeting $147.84, with a stop-loss set below the middle track; if it breaks below the middle track, observe or take a light short position, targeting below $133.06.
- Conservative Strategy: Wait for the price to clearly break through $147.84 or drop below $130 before entering, avoiding blind operations within the range.
- Key Points to Watch: Closely monitor the confirmation of the KDJ dead cross and changes in volume, being alert to the correction risk after the positive news materializes.
