EOS: Long Term Bullish Setup 1W (Jul. 26)

X Force Global Analysis:


EOS has been at a phase of consolidation near all time low support levels for the past few months. In this analysis, we explore a bullish case for EOS based on technical analysis.

Bullish Evidence

- To begin with, we can spot a potential bullish Adam and Eve reversal pattern, with a neckline around 7.8 USDT
- The Relative Strength Index (RSI) shows signs of strength as it creates higher lows
- The Stochastic Oscillator also shows higher lows as a sign of trend strength
- The bollinger bands are narrowing, which is normally a sign prior to a big movement taking place

Bearish Evidence

- However, the Moving Average Convergence Divergence (MACD) shows a lack of momentum through its weak bullish histograms
- EOS is also yet to break out from the descending trend line resistance marked by the dotted white line
- We are currently trading below the Ichimoku cloud, indicating the current trend is bearish for now.
- Further confirmation after a breakout is necessary for the validation of this scenario


What We Believe

In short, while there are a number of bullish evidence marked by technical analysis suggesting a probable bullish case, the bearish evidence suggests that further confirmation is required for a long term bullish setup.

Trade Safe.