XLM - Will XLM Find Strength or Stumble?

1月26日

XLM has been in a downtrend for the past 10 days after rejecting from the 0.618 Fibonacci retracement resistance. The price action shows lower highs and lower lows with no significant volume, signaling a potential continuation of the trend. Let’s identify the key support and resistance zones and possible trade setups.

Support Zone
A strong support zone lies between $0.3725 and $0.3695 based on multiple confluences:

• Monthly Level: At $0.3725
  
• Anchored VWAP: From the very low, the VWAP aligns with the monthly level
  
• Fibonacci Retracement: Drawing the fib retracement from the year’s low to the recent high, the 0.75 Fibonacci level lies at $0.3695
  

Resistance Zone

• Key Level: Price data highlights $0.435 as a significant S/R zone
  
• Fibonacci Retracement: The 0.618 Fibonacci retracement from the current wave aligns with the key level
  

Short Trade Setup

• Entry: 0.618 Fibonacci retracement/key level at around $0.435
  
• Stop Loss: Above the previous high
  
• Take Profit: Target the support zone at round $0.3725
  
• Risk-to-Reward (R:R): 4.5
  

Long Trade Setup (on confirmation)

• Entry: Long position between the support zone of $0.3725 and $0.3695
  
• Stop Loss: 3% SL
  
• Take Profit: around 0.39/0.4
  
• Risk-to-Reward (R:R): 2 or better
  

1月27日

交易結束：目標達成

Monthly level and Fib 0.75 was breached, leading to a strong bounce off the 0.786 level