Cardano Price Analysis 11/10/2020

Third Wave already started ?

Looking at the Cardano price, we notice that due to the extremely dynamic gains from the second half of September, the ADA price “rebounded” from the resistance level of $ 0.65. Thus, according to the Elliot wave theory, we can expect a second wave of increases that should break the $ 0.13 level. For the record, Elliot wave theory considers all price movements as a waves. Each wave consist of eight smaller waves named: I, II, III, IV, V, A, B, C, where waves A, B, C are form of movement correction. For full clarity let’s see below diagram:

Full article describing Elliot wave theory: https://www.investopedia.com/terms/e/elliottwavetheory.aspAfter looking at below chart we can observe that 3rd wave is about to start.

Movement confirmation - Stoch RSI

 We can read second movement confirmation from Stoch RSI, which indicates that Cardano price is currently in oversold zone (< 20).

Movement confirmation - Reversed head and shoulders

Another indicator which predict end of current trend is reversed head and shoulders visible on chart with daily interval.

On below daily Cardano price chart we see that figure is fully formed now. Two shoulders (marked with 1 and 3) and head (2) signals trend reversal. If price cross the black line from below while having high volume of transactions we can expect upward price movement.

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The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice.

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