Recently ATOM had a modest breakout as you can see in the chart. It broke out of its descending triangle structure. After that I did run up to around 43ish, stopping short at a resistance level of its previous highs at around 44.
Now, in the chart you can also see that moving averages have been acting as support and resistance. For instance, the 20 day MA (yellow line) as a resistance before the aforementioned breakout. The price was touching the line and got rejected. However, recently the 20 and 50 day MA have both acted as a support level for the price.
From that, I consider ATOM to still be in a bullish momentum phase. With this recent correction I used the opportunity to increase my position. I suspect a larger run-up quite soon.
This is only my opinion, not financial advice. Have a good day, trade with caution!
PS. I would like to hear your opinion on this in the comments
Now, in the chart you can also see that moving averages have been acting as support and resistance. For instance, the 20 day MA (yellow line) as a resistance before the aforementioned breakout. The price was touching the line and got rejected. However, recently the 20 and 50 day MA have both acted as a support level for the price.
From that, I consider ATOM to still be in a bullish momentum phase. With this recent correction I used the opportunity to increase my position. I suspect a larger run-up quite soon.
This is only my opinion, not financial advice. Have a good day, trade with caution!
PS. I would like to hear your opinion on this in the comments
