VET Dynamic Resistance|.618 Fib| Swing high|Structural support

18 באוג׳ 2020

Evening Traders,

Today’s analysis – VETUSDT- breaching dynamic resistance with an impulse move, swing high being the immediate target.

Points to consider,
- Local downtrend broken
- Retest confluence (.618 Fibonacci)
- Key dynamic resistance breached (swing high target)
- Stochastics flat
- Volume below average

VETUSDT’s down trend has been breached by taking out its dynamic resistance. This gives us a bullish bias on the immediate trend.

A structural support retest is probable; price is likely to respect this level due to high demand, currently holding the .618 Fibonacci.

The RSI is declining, remaining above 50 will allow for a bullish bias on the market. The stochastics is currently flat; this is an indication of momentum being stored to the upside. Price action must remain bullish for upside target (swing high).

The volume profile is currently below average, an influx will coincide with an impulsive move. Volume needs to be backed up by price action for follow through.

Overall, in my opinion, VETUSDT reaming above structural support will allow for a valid long with defined risk. Price action is to be used upon discretion / management of the trade.

What are your thoughts?

Thank you for following my work!

And remember,

“Trading effectively is about assessing probabilities, not certainties.”
― Yvan Byeajee