ADAUSD Medium-term Trend: Ranging
Supply zones: $0.2800, $0.3000, $0.3200
Demand zones: $0.2000, $0.1500, $0.1000
Cardano is once again bearish in the medium-term. The bulls’ momentum was lost as they were only able to push the price up to the $0.2100 supply area as their return was there rejected by the bears.
The price was then pushed down to a fresh demand area at $0.1880 by the bears. The bulls, in turn, came back and pushed it back up to the supply area at $0.2100. This scenario between the bulls and the bears brings Cardano into consolidation.
This pair ranges between the $0.2150 upper supply range and the lower demand range at $0.18801. Daily candles are opening bullish above the 12 and 26-day EMA as against yesterday’s openings at $0.2023. These imply more buyers are present. The stochastic oscillator is at 76 percent and its signal is pointing up, meaning some upward momentum in the price as the bullish pressure increases. Patience is required for a defining trend to show up either after the breakout from the upper supply range or breakdown at the lower demand range.
ADAUSD Short-term Trend: Ranging
Cardano is still consolidating in the short-term. The bears were strong in their bid to take control of the market, but the bulls never gave in and this put Cardano in a ranging situation. Its price was pushed down from the $0.2100 supply area by the bears to a fresh demand area at $0.1800.
The double bottom formation at this area brought the bulls back. They move it back up to the supply area at $0.2100. The triple top in this area then set the bears in again. The stochastic oscillator is at 34 percent and its signal pointing down indicating downward momentum in the price as the bears try to bring it back to the demand area. Patience will save from undue loss in this ranging situation as a breakout to the upside or breakdown to the downside is imminent and thereafter a position can be taken.
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