Hello everyone,
After staking my first 500 AVA token, I decided to do some technical analysis comparing different time zones and see what we could expect from this token to do. Of course I feel that it is a token with potentials but we have to be realistic when it comes about trading.
I am starting with the daily chart where a rising wedge is taking place, but as you can see a little breakout is happening right there. We need to see that the breakout happend with volume but not with the ammount that I would like to call it a breakout for sure! Watchout for fakeouts, cause it is a possible one. We will wait until the last daily candle close, and if it is above the black line, with volume then it is a breakout for sure. Another thing that I would like to see is the bearish regular divergence that i is forming and it is a trend reversal.
Continuing into the 4h chart we can see clearly the rising wedge, a good one for the people who like to trade the range with about -/+ 25%. We can see again the volume of the breakout and another bearish divergence. It is possible to meet the lower side of the canal (lower black line) where it is a good entry point. We just have to wait and see the close of the daily candle there.
Here, you can clearly see what I meant above and the good entry point-range to buy some AVA. But don't forget NEVER FORGET to put stop loss order cause if you lose it you will probably lose about 25% of your trade capital.
Waiting some hours, and now we can see in the 15min timezone chart that it is slightly under the trendline. But nothing has ended yet cause it is forming a falling wedge there, which of course it is bullish. We just have to wait and see.
Be patient and dont panic!
