XRP/USD - Approaching Buy Opportunity
Hi traders, I hope you all had a wonderful weekend.
Here we are analyzing XRP/USD on the 4H chart.
XRP/USD has been in a small corrective move after a big up move which had a high of 1.2115 before the downside began. Price recently found support at 0.9770 and I expect this to be a possible buy zone.
I believe price will pick up momentum to the upside. Price had an initial low at 0.8990, and is since trying to make a break higher. Price is trading above a horizontal resistance which has now turned support, and as it stands there is a reversal candlestick on the horizontal support at 1.0050. This support zone could be the beginning of the up move.
If price fails at the above support zone, then price may fall and then test a lower support horizontal support zone at 0.6500. But, judging by the momentum now, I expect this scenario to be unlikely.
I am expecting Ripple to continue with the current upside momentum, and I am eventually expecting that Ripple will pick up upside momentum and hit the upside target of 1.2150 in the short term.
This trade could play out in 2 ways, I have outlined these below:
-Price bounces at the current horizontal support at 0.9790, and then uses it as a launch pad to hit the upside target of 1.2150. With this scenario the move probably will not be straight up, there is likely to either be a: retest of the support zone, or a corrective pullback higher up in the up trend. Either way, the target above is likely to be hit.
-Price tests the current horizontal support level at 0.9790 and then rolls over, breaking below the middle support zone to the lower support zone at 0.6500. If it breaks the middle support at 0.9790 it doesn't necessarily mean it will tank to 0,6500, but it does show a longer term weakness in the pair and shows the recent corrective move might be voided, and will create a volatile market.
Bare in mind that seeing a retest at horizontal support at 0.6500 would be an awful test.
If price retests the lower support, it will still bounce and go to the upside, but it is less likely. The first scenario above is the ideal one for Ripples best outcome. For this trade, and for the long term health.
I will updating this analysis if it exceeds 40 likes.
Here we are analyzing XRP/USD on the 4H chart.
XRP/USD has been in a small corrective move after a big up move which had a high of 1.2115 before the downside began. Price recently found support at 0.9770 and I expect this to be a possible buy zone.
I believe price will pick up momentum to the upside. Price had an initial low at 0.8990, and is since trying to make a break higher. Price is trading above a horizontal resistance which has now turned support, and as it stands there is a reversal candlestick on the horizontal support at 1.0050. This support zone could be the beginning of the up move.
If price fails at the above support zone, then price may fall and then test a lower support horizontal support zone at 0.6500. But, judging by the momentum now, I expect this scenario to be unlikely.
I am expecting Ripple to continue with the current upside momentum, and I am eventually expecting that Ripple will pick up upside momentum and hit the upside target of 1.2150 in the short term.
This trade could play out in 2 ways, I have outlined these below:
-Price bounces at the current horizontal support at 0.9790, and then uses it as a launch pad to hit the upside target of 1.2150. With this scenario the move probably will not be straight up, there is likely to either be a: retest of the support zone, or a corrective pullback higher up in the up trend. Either way, the target above is likely to be hit.
-Price tests the current horizontal support level at 0.9790 and then rolls over, breaking below the middle support zone to the lower support zone at 0.6500. If it breaks the middle support at 0.9790 it doesn't necessarily mean it will tank to 0,6500, but it does show a longer term weakness in the pair and shows the recent corrective move might be voided, and will create a volatile market.
Bare in mind that seeing a retest at horizontal support at 0.6500 would be an awful test.
If price retests the lower support, it will still bounce and go to the upside, but it is less likely. The first scenario above is the ideal one for Ripples best outcome. For this trade, and for the long term health.
I will updating this analysis if it exceeds 40 likes.
Related publications
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.