A Market Direction Change Occurs in Compound (COMPUSD)
Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you are unlikely to be protected if something goes wrong. Take 2 minutes to learn more
Free Crypto Signals Channel
Free Telegram Channel
Market Analysis – Compound Experiences Change in Market Direction
A market direction change occurs in Compound (COMPUSD) with the recent break of its structure. The month of January was bearish. The coin formed a three-white-soldier candlestick pattern from the 3rd to the 5th of February. The three-white-soldier reversal pattern cleared the high of the bearish candle on the 2nd of February. This was a clear sign that there was a change in the state of delivery in the market. The Stochastic Indicator indicated that the market was oversold. Similarly, the Relative Strength Index also showed an oversold market.
Compound Major Levels
Supply Zones: $126.80, $110.00
Demand Zones: $93.49, $98.60
There was a price surge after the change in market direction. The bulls experienced five days of unresisted bullish action. A bearish candle was formed after the fifth daily bullish candle on the 8th of February as a sign of exhaustion. At this point, the Stochastic was readily indicating an overbought market. On February 10th, a volatile bearish move broke the structure. Price cleared the low of the day on the 8th of February. This was a clear sign of a change in market direction.
The market bounced on the order block formed on February 2nd. After a bit period of consolidation, the order block did not hold. The market dipped further with rejection at 93.40 during March. The long wick beneath the small-sized bearish candle was a sign of a change in market direction in Compound. The Stochastic indicator was also oversold at the time of the formation of the shadow. The bulls used the demand zone at 93.40 to facilitate a change in the market direction. The price rose to reach the next supply zone at 126.80 before falling to fill the gap.
What to Expect From the Compound Market?
The gap in the daily time frame was filled. The Stochastic indicator and the Relative Strength Index moved to the overbought region. This has caused the retracement in the four-hour time frame. The market is expected to retrace deeper and gather momentum to reach the next significant level at 126.80. A change in market direction to bearishness will be anticipated if the market clears the lows at $98.60.
How To Buy Lucky Block
Note: Cryptosignals.org is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results.
