GXShares trend remains bullish as price continues to produce lower lows and lower highs, and at the same time Fibonacci resistance levels are being rejected. However, today GXS/USD has reached 78.6% Fibonacci support level at $2.5, which has been rejected along with the 8/1 Gann Fan trendline.
Price produced the spike below the support reaching $2.38 low. While the daily closing price stays above that level GXShare could produce a corrective wave up, potentially reaching the resistance at $3.8, that is 61.8% Fibs.
But, if GXS breaks below the $2.38, the downtrend continuation will become the most probable scenario. In this case GXShares could drop towards the key phsycological support area, near $1.
Currently it looks like the low risk buying opportunity can be considered, with the potential stop and reverse approach.
Price produced the spike below the support reaching $2.38 low. While the daily closing price stays above that level GXShare could produce a corrective wave up, potentially reaching the resistance at $3.8, that is 61.8% Fibs.
But, if GXS breaks below the $2.38, the downtrend continuation will become the most probable scenario. In this case GXShares could drop towards the key phsycological support area, near $1.
Currently it looks like the low risk buying opportunity can be considered, with the potential stop and reverse approach.
Trade closed: target reached