Token - $RARE

Singal - LONG

The market is currently in a strong bullish trend, with moving averages and momentum indicators signaling buy opportunities. However, overbought signals from the RSI and Stochastic RSI suggest a potential short-term pullback. Let’s break this down and identify key support and resistance levels to watch.

Momentum Indicators: Mixed Signals but Strong Uptrend

  • Relative Strength Index (RSI - 14): At 71.16, the RSI is above 70, which signals overbought conditions. This means that while the market is still in an uptrend, there’s a higher likelihood of a pullback or consolidation.

  • Stochastic %K (14, 3, 3): At 54.55, this indicator remains neutral, meaning there is still room for the price to move in either direction without immediate pressure.

  • Commodity Channel Index (CCI - 20): At 161.69, the CCI is above 100, indicating strong momentum. However, it isn’t yet in extreme overbought territory.

  • Average Directional Index (ADX - 14): At 40.15, this confirms that a strong trend is in place, but it does not indicate its direction.

  • Awesome Oscillator: At 0.0329, this remains slightly positive, signaling mild bullish momentum.

  • Momentum (10): At 0.0696, this signals a buy, confirming that prices are steadily rising.

  • MACD (12, 26): At 0.0073, the MACD is in buy mode, reinforcing the uptrend.

  • Stochastic RSI (3, 3, 14, 14): At 82.93, this is in sell territory, warning of a possible short-term price correction.

  • Williams %R (14): At -25.80, this indicator is approaching overbought territory but is not extreme yet.

  • Bull Bear Power: At 0.0475, this remains neutral, suggesting a slight bullish edge but not an overwhelming imbalance.

  • Ultimate Oscillator (7, 14, 28): At 45.82, this indicator is still neutral, meaning that momentum is not yet overextended.

Moving Averages: Bullish Confirmation

All moving averages (short-term, medium-term, and long-term) are giving buy signals, confirming the overall bullish trend:

  • Short-Term MAs (10-30 period): All EMAs and SMAs indicate buy signals, suggesting that the uptrend is still intact.

  • Medium-Term MAs (50-100 period): Consistently bullish, reinforcing that the trend is not just short-term but more sustained.

  • Long-Term MAs (200 period): The 200-period moving averages are also bullish, confirming that the market has been trending upwards for an extended period.

  • Ichimoku Base Line (9, 26, 52, 26): Neutral at 0.0956, suggesting that while the market is trending upwards, it is not yet in a confirmed breakout.

  • Volume Weighted Moving Average (VWMA - 20): Buy signal, confirming that price increases are supported by volume.

  • Hull Moving Average (9): Buy signal at 0.1109, reinforcing short-term bullish momentum.

Key Support and Resistance Levels


Immediate Resistance Levels (Upside Targets)

If the bullish trend continues, these levels will act as potential targets or barriers:

  1. First Resistance: The previous swing high or psychological level, where sellers may begin to take profit.

  2. Second Resistance: A historical resistance zone, where price action previously struggled to break through.

  3. Third Resistance: A Fibonacci extension level or long-term moving average, marking an extended bullish run before a possible reversal.

Immediate Support Levels (Potential Pullback Zones)

If a correction occurs, these levels will act as key support zones:

  1. First Support: The 10-day or 20-day EMA, which could act as dynamic support in a short-term pullback.

  2. Second Support: The 50-day SMA, a key level that often holds in medium-term trends.

  3. Third Support: The previous breakout level or a strong Fibonacci retracement zone (e.g., 38.2% or 50%), where buyers may step in to defend the uptrend.

Final Outlook: Strong Uptrend with Caution on Overbought Signals


Bullish Factors Supporting Further Upside

✅ All major moving averages confirm a strong uptrend.

✅ Momentum indicators like MACD and Momentum (10) reinforce continued buying pressure.

✅ The market is supported by volume-weighted trends, adding credibility to the bullish move.


Risk Factors to Watch For

⚠️ RSI above 70 and Stochastic RSI above 80 suggest overbought conditions.

⚠️ Potential short-term pullbacks if resistance levels hold.

⚠️ A break below key support levels (e.g., 50-day SMA) could trigger a trend reversal.

Trading Strategy Suggestion

  • If already long: Consider taking partial profits at resistance levels while trailing stops to protect gains.

  • If looking to enter: Waiting for a slight pullback to key support levels could provide a better risk-reward entry.

  • If concerned about reversal: Watch for a breakdown below critical moving averages before making bearish bets.

Trade setup :

Trade type - Long term

Leverage - 2x-5x (Low)

Entry - 0.11

Tp 1 - 0.2

Tp 2 - 0.33

SL - 0.075

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