VET/USD - weekly chart updateLooking at the VET/USD 1 week chart we can see that VET is in a massive Falling Wedge Pattern. A Falling Wedge Pattern is potentially a Bullish Reversal Pattern. Note that the APEX of the Falling Wedge Pattern is located around the end of October 2023. A weekly candle CLOSE BELOW the Lower Converging Trend-line can easily invalidate this pattern as we saw with the previous weekly Rising Wedge Pattern that got invalidated.
Here is a closer look at this VET/USD weekly chart:
At the moment of typing this, VET is still way below its 50MA, 100MA and 200MA. For the downside, be on the lookout for if/when the 50MA crosses UNDER the 100MA on this 1 week timeframe. For the upside, be on the lookout for if/when VET crosses back above its 200MA and successfully re-test it as support.
VET is also still way below its Least Squares Moving Average (LSMA) for this 1 week timeframe. For the upside, be on the lookout for if/when VET crosses back ABOVE and COLSES a weekly candle ABOVE its LSMA creating a BUY Signal for this indicator on this 1 week timeframe, also look out for any successfully re-test as support.
VET is still way below its Bollinger Bands Middle Band Basis 20 Period SMA for this 1 week timeframe. Note that both the Middle and Lower Bands are pointing downwards and the Upper Band is sideways at the moment. For the mid to longterm, VET needs to cross back ABOVE and CLOSE ABOVE its BB Middle Band Basis.
Looking at VETs longterm Modified Schiff Pitchfork Pattern, we can see that VET is still way below its Pitchfork Median Line and has also found resistance from its Lower Green Resistance Line.
Looking at the Trend-Based Fib Extension tool, we can see what levels VET has above and below it as potential Support and Resistance. Note that the 1 ($0.01845) Trend-Based Fib Extension Level is located roughly where the 78.60% ($0.1811) Fib Retracement Level is located.
Looking at the Fib Retracement we can see that VET has the 78.60% ($0.01811) and 100% ($0.0857) Fib retracement Levels as potential support.
I have added to areas of Support which i believe are of great interest as highlighted by the Horizontal Black Lines with Blue Shading. We can clearly see that VET has found strong Support from its first Support Area. The longer VET stays and keeps re-testing this area with lower highs, the more the support volume will be chipped away and VET will potentially drop further to its next support cluster.
The Volume Profile Visible Range Point of Control (VPVR POC) is located at $0.004946 and you can see the increased volume cluster located from around $0.00857 to $0.00287. If VET drops to that level, we can expect a huge buying opportunity to cause a spike up.
As you can see on this weekly chart, Traded Volume has been low since around Jun 2021 compared to what VET was getting from July 2018 to May 2021.
Looking at the Average Directional Index (ADX DI) we can see that the Trend Strength is increasing with the ADX (Orange Line) rising to 17.129 and above its 9 Period EMA (Black Line) at 15.182. Note that Negative Momentum has dropped with the -DI (Red Line)at 28.041. Positive Momentum has also dropped with the +DI (Green Line) to 16.636.
Looking at the Moving Average Convergence Divergence (MACD) we can see that the MACD Line (Blue Line) is still in the Negative Zone under the 0.0 Base Line and has been in the Negative Zone since the week of the 13th Dec 2021. Note that the MACD Line (Blue Line) is slight curving upwards so be on the lookout if the MACD Line (Blue Line) crosses back above the Signal Line (Orange Line) creating a Buy Signal on this 1 week timeframe for this indicator.
Looking At the Stochastic Indicator (STOCH) we can see that the %K (Blue Line) is still under its %D (Orange Line) and both lines are deep in the Oversold Zone and has been for the last 10 weeks. What is interesting is that VET has been in the Oversold zone a few times on this weekly timeframe and on 3 previous occasions VET has spent about 15-16 Weeks in this Oversold Zone before rising above 20. Could be one to watch.
I still believe that there is a huge possibility that BTC will hit $12K especially with inflation and the recession we are in, if that happens then we can expect VET to at least WICK DOWN to its 2nd Support Area which is located by its 100% ($0.0857) Fib Retracement Level and its 1.414 ($0.096) Trend-Based Fib Extension Level.
I would not get excited on tis weekly chart unless VET closes and successfully re-test as support its LSMA. For the Longterm, wee need VET to break back above and CLOSE a weekly candle ABOVE its Bollinger Bands Middle Band Basis and 200MA.
Once this world recession is over and the Governments, The FED, The Bank of England ect ect have completely cleaned up from inflation and whatever else, then the Market Makers will eventually decide that the Path of Least Resistance to Profit is upwards. So once this recession and financial/crypto bear market is over, be it in a year, 2, or even 5 to 10 years. You need to position yourself to be able to buy back in on your crypto of choice and take full advantage of the next parabolic wave up.
This is all just my opinion so please do your own research as its your money.
I have tried to cram quite a lot in this post as this will probably be my last longterm VET/USD weekly chart post for a while unless something major happens so I hope this is helpful with your trading and hodl-ing.
