CHZ is ranging since March 2021 – almost 1 year. Support at $0.20 was tested many times before it breaks and price drops at $0.16. After a couple of weeks of accumulation, price pass through $0.20 to $0.24 confirming in this way the shakeout/spring.
The are some long shadow candlesticks between May and June 2021 - an indication that large traders entered the market and moved the price quick and high. Long shadows form the demand area. With the last two weeks accumulation (LTF 4H), it seems that all buying orders in the demand zone ($0.16 – 0.213) is filled.
Because consolidation is forming in a long period of time, if we flip $0.80, a conservative target is at $1.50 (161.8% Fib extension) and a more optimistic at $2.36.
If you go long near $0.23:
Great Risk/Reward ratio: 4.58 (take profit $0.58) – 16.57(take profit $1.50) - 28.34 (take profit $2.36)
Stop loss: $0.155
The are some long shadow candlesticks between May and June 2021 - an indication that large traders entered the market and moved the price quick and high. Long shadows form the demand area. With the last two weeks accumulation (LTF 4H), it seems that all buying orders in the demand zone ($0.16 – 0.213) is filled.
Because consolidation is forming in a long period of time, if we flip $0.80, a conservative target is at $1.50 (161.8% Fib extension) and a more optimistic at $2.36.
If you go long near $0.23:
Great Risk/Reward ratio: 4.58 (take profit $0.58) – 16.57(take profit $1.50) - 28.34 (take profit $2.36)
Stop loss: $0.155
Trade active:
Markets are falling due to Russia - Ukraine tensions. That can not affect the market in the long run. Stay to your plan. Do not panic sell!
Comment:
Check below Support and Resistance Levels.
