XEM/BTC | Macro Trend Reversal | Golden Cross | Trade Setup

2020年7月26日Today's analysis – XEM/BTC – A strong break of its multi-month resistance backed by volume; showing signs of a macro trend reversal.

Points to consider:
- Bullish price action
- S/R Flip (trend reversal)
- EMA Golden Cross
- Increasing volume
- RSI above 50
- Stochastics below 50

XEMBTC breaking structural resistance with inviting bullish engulfing candles indicating buyers in the market establishing a bullish bias.

Price currently retracing to establish an S/R flip retest of the structural support zone, price holding support will form a local higher high and higher low on the chart indicating a macro trend reversal, supporting the bullish bias.

The 200 EMA is also in confluence with structural support; putting a strong emphasis on support being a key level. A golden cross of the 200 and 21 EMA will indicate momentum shifting to the upside; another confirmation supporting the bullish bias.

A clear volume influx coinciding with the break of the key level adding validity to the price action. Continued Volume follow-through is needed for a continuation.

RSI is trading above 50 and needs to continue ranging above 50 to remain bullish. Stochastics are below 50, momentum is lacking is the immediate market, however, a valid bullish cross-over will indicate momentum stored to the upside.

Overall, in my opinion, a successful S/R flip retest backed by volume validates a long trade to technical targets above with risk defined below structural support.

If you’ve read this far, I’d like to thank you for following my work and development as a trader!

As always,

Focus on you, and the money will too!