WU Breakout & retested descending wedge 400%+ target
The chart presents a descending wedge pattern, a typical bullish reversal setup. A clear breakout from the wedge has occurred, followed by a successful retest of the breakout level, confirming upward momentum. This breakout is supported by bullish divergence on the RSI, signaling a shift in momentum to the bulls.
After the breakout, the price has entered a resistance area. This zone will be critical to watch as price action here will dictate the continuation of the trend. A clear break above this resistance would indicate further bullish continuation & a good second entry into a position with stop loss below the wedge.
For an entry strategy, a long position can be considered on a retest of the breakout zone, now acting as support around $0.2667. A stop loss can be placed below this level to manage risk in case of a false breakout. The take-profit targets would be the previous wedge high and the higher Fibonacci extension levels.
This is a swing trade setup which coincides with the bull run. I would expect to be in this for many weeks.
Trading is like surfing — fun, but you might wipe out. This isn’t professional advice—always do your own research and consult a pro before diving in!
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