fxstreet.com 23 Feb, 2021 06:45 am

XLM poised for massive 27% breakdown, as the technical picture worsens

Stellar has recently been rejected from the yearly high of $0.61. Bulls tried their best to secure higher support but failed in that task. XLM continu

XLM continues with the breakdown below a descending trendline that seems to have confirmed a triangle pattern on the 4-hour chart.For instance, the descending triangle pattern on the 4-hour chart is a bearish signal.XLM/USD 4-hour chart The same 4-hour chart highlights a bearish Moving Average Convergence Divergence (MACD).Looking at the other side of the fence The 200 Simple Moving Average (SMA) on the 4-hour chart might support $0.

Selling pressure continues to mount, especially with the MACD diving below the midline.In other words, selling pressure is likely to continue rising, adding credence to the expected breakdown.

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