Disclaimer: The results of the following analysis are the author’s opinions alone and should not be considered investment advice.
spices [CHZ] The recovery from the $0.08 base line triggered a bullish rally, pushing the currency beyond the 20/50/200 EMA bond. While consolidating a point above these barriers, CHZ recorded an expected breakout of its bullish pattern on the daily chart.
With the 50 EMA (cyan) sliding above the 200 EMA (green), buyers may look to accelerate their gains in the coming hours.
But broader market sentiment appears to be deteriorating. Therefore, buyers should research the entry triggers discussed below before calling.
At press time, CHZ is trading at $0.2365, down 2.06% in the last 24 hours.
CHZ daily chart
The bulls have found enough firepower to create a consistent series of higher highs and lows in recent weeks. The recovery from the $0.08 level saw an astonishing 215% ROI until CHZ reached a four-month high on Aug 23.
The drop from this level has created a classic descending channel in this time frame. The resulting breakout has put the currency in an uptrend in the near term.
A convincing close above the $0.23-$0.24 range could help the rally Retest the range $0.263 – $0.28 in upcoming sessions. However, a reversal below the $0.23 region could hinder the upside.
At the same time, the golden cross of the 50 EMA (cyan) with the 200 EMA could lay a solid foundation for the long-term growth of altcoins. In addition, the short-term bounce will continue to find reasons for the recovery from the $0.19 to $0.2 range.
The Relative Strength Index (RSI) Take a bullish stance while finally breaking through the 59 support level. A sustained swing above this limit should help buyers find new tops on the chart.
Moreover, the Volume oscillator (VO) Record high altitudes during recent rallies. This reading indicates a relatively strong upward movement in recent days.
Finally, the DMI The lines revealed bullish slopes but the ADX struggled to confirm a strong directional trend.
Given the channel breakdown along with the golden cross at the 50/200 EMA, buyers can aim for a rally in the upcoming sessions.
A close below the 20 EMA can nullify the desire to buy. The Possible goals It will remain as stated above.
Finally, traders/investors should closely monitor the movement of Bitcoin and its effects on the broader market to take a profitable move.