GALA Short-Term Price Action Update
In my previous analysis, I suggested that the price would likely find support at the monthly level of $0.04358, which it has done, and resistance at the weekly level of $0.04892, which also played out. Following this, I expected a correction to form either a channel or a triangle pattern. Currently, it appears that the price is consolidating into a descending triangle which is more viewable on the 30 minute time frame, with the price at $0.04694 at the time of writing. My expectation is that the price will move back down to test the support level at $0.04358.
Please note that corrections are complex and dynamic, so this is an educated guess with a bearish bias.
Supporting Factors for Bearish Bias:
Key Watch Point:
If the Daily Stochastic RSI signals a bullish momentum change (K-line crossing above the D-line), my bias will shift to bullish, but for now, we are correcting with a possibility for further downside before we correct upwards.
Don't worry; the momentum indicators on the Monthly are all positive, so it's just a usual Crypto correction - albeit 38%.
If you like my ideas consider following and also like to get it out to more people
In my previous analysis, I suggested that the price would likely find support at the monthly level of $0.04358, which it has done, and resistance at the weekly level of $0.04892, which also played out. Following this, I expected a correction to form either a channel or a triangle pattern. Currently, it appears that the price is consolidating into a descending triangle which is more viewable on the 30 minute time frame, with the price at $0.04694 at the time of writing. My expectation is that the price will move back down to test the support level at $0.04358.
Please note that corrections are complex and dynamic, so this is an educated guess with a bearish bias.
Supporting Factors for Bearish Bias:
- Daily Stochastic RSI: Momentum is clearly downward, reinforcing a bearish outlook.
- Descending Triangle Formation: This is generally considered a bearish continuation pattern.
- Daily RSI: The RSI is declining, further aligning with a bearish view.
Key Watch Point:
If the Daily Stochastic RSI signals a bullish momentum change (K-line crossing above the D-line), my bias will shift to bullish, but for now, we are correcting with a possibility for further downside before we correct upwards.
Don't worry; the momentum indicators on the Monthly are all positive, so it's just a usual Crypto correction - albeit 38%.
If you like my ideas consider following and also like to get it out to more people
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.