WLEO/USD Price Trading Cleanly Off Support & Resistance Levels

LeoFinance
23 days ago
3 Min Read
540 Words

As WLEO now has 45 days of trading activity under its belt we get the beauty of multiple time frame analysis coming into play now.

In this post we will look at both the 4 hour chart and the daily to see the key levels that WLEO price has created in terms of USD.

The larger picture daily....

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Above is the daily chart and the trendlines draw were borne from the 4 hour chart.

You can see how the price points are well in play on the daily chart too. This symmetry makes for good and reliable price action, thus making our jobs easier as we trade and look to add (or dare I say sell) positions.

Key support level

The 21 cent area is the key support for WLEO right now. In my last WLEO post I talked about this level as our downside line in the sand and much to my delight price tested it and has rallied, making for a wonderful buy entry.

The other reason this level is important is because without holding it then price would test the all time lows, which is basically the initial opening trading price for the token. And the opening price isn't exactly a support level, is more so a reference point that could show support.

As for the upside you can see price bounced to the 25 cent level. On this daily chart there doesn't look like there is too much there in regard to pivot points but we do see the consolidation several times throughout December in that area.

This is where the 4 hour gives more clarity...

Zoom in with the 4 hour...

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Looking at the 4 hour chart you can see how price bounced off the 25 cent area many times in early December before we got the selloff, it then struggled with it again until ultimately spiking before this last sell off that took price to the 21 cents low.

The rally off 21 cents that has taken a breather here after hitting 25 cents looks much more clear and obvious on the 4 hour chart.

Other levels to watch

On the 4 hour we can see there was price action around 23 cents and that is the current level I'd like to see price hold above before making a run at the 25 cents resistance level again.

This level isn't as obvious on the daily chart, but these smaller "price wars" are what dictate which direction (and bigger price point) we see tested.

Overall outlook

In the grand scheme, 21 cents is still the major downside support. On the upside price must first surpass the 25 cent area resistance, at that point the next upside would basically be the all time highs with pivot points in the 27-28 cent area.

Right now this is likely the easiest and cleanest price action we will see in WLEO because as more time goes on there will be more pivot points and price levels created that may blur the existing levels, cancel them out or possible fail outright.

Let's seek the "failures" to the upside and wish for new price points above the all time highs.

Posted Using LeoFinance Beta