CWARUSDT at monthly support, likely to bounce and head upward

27 Jul

This one is an interesting case. The price rallied strongly after the low it made at the beginning of last quarter of 2023. However, the rally was stopped by monthly resistance MR1. Although after getting rejected from that MR1 zone, the price again made an attempt to go beyond that resistance but failed to do so. That resulted in the price to continue its downward journey and reached once again to the level where it had reversed. This zone is now a monthly support zone and is likely to provide support to the price. The price is likely to bounce upward from here. However, this asset may have some liquidity issue, therefore one has to be extra cautious while trading it. But I see a good risk reward ratio here if volume returns and more people get interested in this asset due to the current level and opportunity of a significant bounce.