FLOW: Oversold at Support
Trade setup: Bearish breakout from Sideways Channel ($0.80 - $1.00), below $0.80 and $0.70 support, confirmed the downtrend. However, price is now very oversold (RSI < 25) just as it reached $0.70 support and could see a bounce up near-term back to $0.80.
Pattern: Price is Oversold at Support. This trading strategy finds assets that are oversold (RSI < 30) and are near a support area, which means there's a high probability that price will bounce up near-term. Oversold conditions are typically reached when RSI hits 30 or less. Learn this trading strategy in Lesson 5.
Trend: Short-term trend is Strong Down, Medium-term trend is Strong Down and Long-term trend is Strong Down.
Momentum: Price is Very Oversold currently, based on RSI-14 levels (RSI < 25).
Support and Resistance: Nearest Support Zone is $0.50. Nearest Resistance Zone is $1.00, then $1.50.
Pattern: Price is Oversold at Support. This trading strategy finds assets that are oversold (RSI < 30) and are near a support area, which means there's a high probability that price will bounce up near-term. Oversold conditions are typically reached when RSI hits 30 or less. Learn this trading strategy in Lesson 5.
Trend: Short-term trend is Strong Down, Medium-term trend is Strong Down and Long-term trend is Strong Down.
Momentum: Price is Very Oversold currently, based on RSI-14 levels (RSI < 25).
Support and Resistance: Nearest Support Zone is $0.50. Nearest Resistance Zone is $1.00, then $1.50.
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