After a thorough analysis of MercadoLibre (
MELI) charts on 1M, 1W, and 1D timeframes, here’s a summary covering market context, key levels, trading opportunities, and price phases. Perfect for traders or investors looking for actionable insights.
Market Context
1M/1W: Strong bullish trend, with Higher Highs (HH) and Higher Lows (HL). The surge to the ATH ($2374.54) after the February 2025 earnings (+13%) and a post-HL move (+15%) show robust momentum. No clear signs of weakness (increasing volume, no RSI divergences).
1D: Likely in a temporary correction or consolidation within the $1700-$2140 range since August 2024. One Lower High ($2202, $2121) without Lower Lows (LL) suggests no confirmed bearish reversal. Bullish MACD (crossing above signal line) and rising volume (except the last 4 days) hint at a potential bounce.
Key Levels
Supports:
$1700-$1723.90: Equal Low (EqL), Point of Control (POC), Fibonacci 61.8%.
$1646-$1660: Pre-ATH low, historical level (2021).
$1830-$1870: High Volume Node (HVN).
Resistances:
$2100-$2140: Equal High (EqH), Order Block ($2000-$2100), HVN ($2060-$2100).
$2374.54: ATH.
Liquidity: Short stops above $2190, long stops below $1700. A false breakout at $2100 suggests potential manipulation.
Trading Opportunities
Bullish:
Bounce from $1700-$1723.90 targeting $2000-$2100, supported by POC, Fibonacci, bullish MACD, and Fair Value Gap ($1960-$2045) as a magnet.
Breakout above $2140 with high volume could target the ATH ($2374.54) or $2400-$2500 (analyst price targets).
Bearish: No clear reversal signals (no Change of Character, no bearish divergences). A break below $1700 with high volume might target $1646-$1660.
Range: Trade the $1700-$2140 range (buy at support, sell at resistance) until a clear breakout occurs.
Strength and Price Phase
1M/1W: In a bullish trend phase (Wyckoff). The -20% pullback post-ATH (linked to Galperin’s $300M share sale) is a correction within the trend. Pre-ATH consolidation supports this phase.
1D: In a lateralization phase (Wyckoff), with the $1700-$2140 range indicating accumulation or distribution, pending confirmation. The false breakout at $2100 suggests manipulation to sweep stops.
Additional Notes
Fundamentals: $5.8B investment in Brazil and $2.6B in Argentina (2025) bolster growth. Analysts (Cantor, Benchmark) target $2400-$2500, but Trump’s trade tariffs could add volatility.
Technical: Monitor volume on breakouts ($2140) or breakdowns ($1700), MACD (1D), and RSI (overbought at ATH, neutral now). Volume Profile (POC $1700, HVN $2000) and Order Blocks ($2000-$2100) are critical.
Suggestions: Consider lower timeframes (4H) for precise entries. Indicators like Stochastic RSI or Bollinger Bands could complement the analysis.
Conclusion:MELI displays a robust bullish trend on higher timeframes, with a manageable consolidation on 1D. Supports ($1700-$1723.90) are strong, and signals (MACD, FVG, volume) point to a bounce or bullish breakout. Great for swing trading the range or going long on a $2140 break. Watch out for macro volatility!
What do you think? Anyone tradingMELI or have more insights to share?
**Disclaimer: This is not financial advice. Always trade responsibly.**
MELI) charts on 1M, 1W, and 1D timeframes, here’s a summary covering market context, key levels, trading opportunities, and price phases. Perfect for traders or investors looking for actionable insights.Market Context
1M/1W: Strong bullish trend, with Higher Highs (HH) and Higher Lows (HL). The surge to the ATH ($2374.54) after the February 2025 earnings (+13%) and a post-HL move (+15%) show robust momentum. No clear signs of weakness (increasing volume, no RSI divergences).
1D: Likely in a temporary correction or consolidation within the $1700-$2140 range since August 2024. One Lower High ($2202, $2121) without Lower Lows (LL) suggests no confirmed bearish reversal. Bullish MACD (crossing above signal line) and rising volume (except the last 4 days) hint at a potential bounce.
Key Levels
Supports:
$1700-$1723.90: Equal Low (EqL), Point of Control (POC), Fibonacci 61.8%.
$1646-$1660: Pre-ATH low, historical level (2021).
$1830-$1870: High Volume Node (HVN).
Resistances:
$2100-$2140: Equal High (EqH), Order Block ($2000-$2100), HVN ($2060-$2100).
$2374.54: ATH.
Liquidity: Short stops above $2190, long stops below $1700. A false breakout at $2100 suggests potential manipulation.
Trading Opportunities
Bullish:
Bounce from $1700-$1723.90 targeting $2000-$2100, supported by POC, Fibonacci, bullish MACD, and Fair Value Gap ($1960-$2045) as a magnet.
Breakout above $2140 with high volume could target the ATH ($2374.54) or $2400-$2500 (analyst price targets).
Bearish: No clear reversal signals (no Change of Character, no bearish divergences). A break below $1700 with high volume might target $1646-$1660.
Range: Trade the $1700-$2140 range (buy at support, sell at resistance) until a clear breakout occurs.
Strength and Price Phase
1M/1W: In a bullish trend phase (Wyckoff). The -20% pullback post-ATH (linked to Galperin’s $300M share sale) is a correction within the trend. Pre-ATH consolidation supports this phase.
1D: In a lateralization phase (Wyckoff), with the $1700-$2140 range indicating accumulation or distribution, pending confirmation. The false breakout at $2100 suggests manipulation to sweep stops.
Additional Notes
Fundamentals: $5.8B investment in Brazil and $2.6B in Argentina (2025) bolster growth. Analysts (Cantor, Benchmark) target $2400-$2500, but Trump’s trade tariffs could add volatility.
Technical: Monitor volume on breakouts ($2140) or breakdowns ($1700), MACD (1D), and RSI (overbought at ATH, neutral now). Volume Profile (POC $1700, HVN $2000) and Order Blocks ($2000-$2100) are critical.
Suggestions: Consider lower timeframes (4H) for precise entries. Indicators like Stochastic RSI or Bollinger Bands could complement the analysis.
Conclusion:
MELI displays a robust bullish trend on higher timeframes, with a manageable consolidation on 1D. Supports ($1700-$1723.90) are strong, and signals (MACD, FVG, volume) point to a bounce or bullish breakout. Great for swing trading the range or going long on a $2140 break. Watch out for macro volatility!What do you think? Anyone trading
MELI or have more insights to share?**Disclaimer: This is not financial advice. Always trade responsibly.**
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GMC
GMC
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.
Follow me on X here: x.com/gonzacastellvi
GMC
GMC
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.