1. Candlestick Patterns: Current Candle: On the daily chart, a bullish candle is forming, indicating increased buying activity and potential for further growth. 2. Moving Averages (SMA and EMA): 50-Day EMA: The price is above the 50-day exponential moving average, signaling a short-term uptrend. 200-Day EMA: The price is also above the 200-day EMA, suggesting a continuation of the bullish trend in the long term. 3. Relative Strength Index (RSI): Current RSI Value: RSI is around 60, indicating strengthening bullish pressure without reaching the overbought zone. 4. Trendlines: Support Line: The $7.50–$7.60 area acts as a key support zone; holding this level could facilitate continued upward movement. Resistance Line: The nearest resistance is at $8.00; breaking this level could signal further growth. 5. Elliott Wave Analysis: Current Structure: The pair might be in an impulsive wave, indicating potential growth; further confirmation is needed to validate this scenario. 6. Smart Money Principle: Institutional Activity: Increased buying volumes near current levels suggest interest from large market players, supporting a bullish outlook. 7. Open Interest: Dynamics: Rising open interest in the futures market indicates new participants entering positions, strengthening confidence in further price movement. 8. Cumulative Volume Delta (CVD): Current Data: Positive CVD values highlight predominant buying activity; however, the absence of sharp growth might indicate potential consolidation. Possible Scenarios: Bullish Scenario: If the price holds above the $7.50–$7.60 support level and breaks resistance at $8.00, it could signal the start of an upward movement targeting $8.50. Bearish Scenario: A break below $7.50 may lead to an extended downtrend, with potential targets in the $7.00–$7.20 range. Recommendations: For Long Positions: Consider opening positions on confirmation of a breakout above $8.00, setting a stop-loss below the $7.50 support level. For Short Positions: Opening positions is advisable on a break below $7.50, targeting $7.00, with a stop-loss above $7.60.
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