In my last post I described how Algorand is Back Above the 50 Day Simple Moving Average
I was looking for a a daily close inside the channel which will be the first signal that weakness was just a shake-out of impatient traders. The channel’s mid-line at $1.38 is a critical resistance going back to March 5, followed by the channel’s upper trendline at $1.54.
Well looking at the chart we have squeaked back into the channel and are trading at $1.256 at the time of writing this post.
We are looking for a test of that $1.38 midline. Zooming in on the 1 day chart we are in of a bit of a small downtrend, but the RSI is getting back to that oversold line at 30 so I'm expecting a bounce here shortly. We are below the 50 SMA on this zoomed in chart but still above it on the 1 month.
I think the uptrend will continue, but we are trading closely with the market so and down turn in the over all markets will put pressure on Algo which if we breakdown out of the channel we will retest that $1 level once again.
Posted Using LeoFinance Beta