FET – Next Pullback Will Reveal if it’s Bullish or Bearish
Pros:
1. On August 17th, FET deviated below the range low in an SFP.
2. Since August 17th, it has been making higher highs and higher lows on the daily chart.
3. On September 2nd, the 21D EMA crossed above the 50D EMA and above the 200D EMA.
4. Today (September 3rd), FET breached the range-high at 0.2558.
5. Volume is rising on the green candles and declining on the red candles.
6. Generally, FET is outperforming similar assets such as AGIX, when in the past they moved together.
7. On the 1H TF, we have seven consolidation candles below resistance. IMO, consolidation below resistance shows that demand is strong and not likely to break down.
Cons:
1. The RSI is a bit elevated. The daily RSI is at 70. FET is close to the oversold level.
2. FET did not test the range high as support.
3. In general, the market is in a downtrend. This presents some headwinds to an asset trying to swim against the current.
Neutral:
1. When an asset outperforms the market and it is at resistance, this is when the short sellers get in. This could be a positive (short squeeze) or a negative (overwhelming sell pressure).
2. The next resistance is at 0.2825.
Possible Bullish Scenario:
• FET continues its upward trajectory toward the next resistance level.
Pull back to the range high to test it as support and continuation up.
Possible Bearish Scenario:
• This deviation above the range high is a liquidity grab before the downtrend resumes.
Conclusion:
Patience. Let FET show its hand.
Long Trade: If FET tests the range high as support, I will long:
• Entry: 0.255
• SL: 0.2465 (Below the consolidation candles)
• Target: 0.31
• TP: 0.2855
• R: R to first TP: 1:2.8
Short Trade: If FET goes below the range high and tests it as resistance, I will short.
• Entry: 0.255
• SL: 0.265
• Target: 0.1728
• TP: 0.2
• R: R to first TP: 1:5.5
NFA.
What do you think? Please share in the comments.
Best Wishes.
1. On August 17th, FET deviated below the range low in an SFP.
2. Since August 17th, it has been making higher highs and higher lows on the daily chart.
3. On September 2nd, the 21D EMA crossed above the 50D EMA and above the 200D EMA.
4. Today (September 3rd), FET breached the range-high at 0.2558.
5. Volume is rising on the green candles and declining on the red candles.
6. Generally, FET is outperforming similar assets such as AGIX, when in the past they moved together.
7. On the 1H TF, we have seven consolidation candles below resistance. IMO, consolidation below resistance shows that demand is strong and not likely to break down.
Cons:
1. The RSI is a bit elevated. The daily RSI is at 70. FET is close to the oversold level.
2. FET did not test the range high as support.
3. In general, the market is in a downtrend. This presents some headwinds to an asset trying to swim against the current.
Neutral:
1. When an asset outperforms the market and it is at resistance, this is when the short sellers get in. This could be a positive (short squeeze) or a negative (overwhelming sell pressure).
2. The next resistance is at 0.2825.
Possible Bullish Scenario:
• FET continues its upward trajectory toward the next resistance level.
Pull back to the range high to test it as support and continuation up.
Possible Bearish Scenario:
• This deviation above the range high is a liquidity grab before the downtrend resumes.
Conclusion:
Patience. Let FET show its hand.
Long Trade: If FET tests the range high as support, I will long:
• Entry: 0.255
• SL: 0.2465 (Below the consolidation candles)
• Target: 0.31
• TP: 0.2855
• R: R to first TP: 1:2.8
Short Trade: If FET goes below the range high and tests it as resistance, I will short.
• Entry: 0.255
• SL: 0.265
• Target: 0.1728
• TP: 0.2
• R: R to first TP: 1:5.5
NFA.
What do you think? Please share in the comments.
Best Wishes.