$COAI .
Another pivotal moment in COAI movement! The latest chart shows a strong attempt by buyers to save the situation at the last moment, resulting in a sudden change in the MACD signal
The current price is approximately $7.118.
Analysis of the current technical situation (power equilibrium at the bottom)
Current location: the price $7.118 is still stuck below the moving averages (MA(7) at $7.28 and MA(25) at $7.54), but it is far from the bottom.
MACD indicator (instant rescue):
MACD line (DIF) at -0.2359 and signal line (DEA) at -0.2353.
The essential matter: The negative crossover we discussed earlier on MACD has been canceled! The lines are almost at the same point (equilibrium), indicating that selling pressure has suddenly stopped at this level.
RSI indicator: The Relative Strength Index (RSI(6)) has returned to touch 28.52, meaning it has entered the extreme selling area again.
The next expected scenario (the strongest possibility: inevitable rebound from selling exhaustion)
Combining the cancellation of the bearish signal from MACD and the confirmation of extreme selling exhaustion on RSI strongly favors a technical rebound, even if MACD has not yet given a clear buy signal.
Scenario one (the strongest): Inevitable and sudden rebound ⬆️
Expectation: The price will start a strong and sudden corrective rebound supported by the selling exhaustion pressure of RSI and the cancellation of the bearish signal on MACD.
Potential target: Breaking the nearby resistances at $7.50 and heading towards the psychological area at $8.00 - $8.50. This rebound is an opportunity for quick profit.
Scenario two (negative): Bottom collapse ⬇️
Condition: The price fails to hold above $7.00 and breaks the bottom at $6.85.
Expectations: This scenario is still possible, but it is less likely after the cancellation of the negative MACD signal and the entry of RSI into the selling exhaustion area, but it is possible unless the candle closes above 8.
Update trading strategy for new traders 🎯
A buy decision should be made now to take advantage of the expected rebound, focusing on sharp stop-loss orders:
Buy orders (entry points) 🛒
Buy (at the bottom/exploiting exhaustion): It is preferable to start entering with an amount (30%) at the current price ($7.118) due to extreme selling exhaustion.
Buy (adjustment/safe option): Place a second buy order (40%) at the critical bottom area $6.85 - $7.00 in case the price returns to test the bottom.
Sell orders (take profit and stop loss points) 💰
Sell (first profit taking): At the psychological area and strong resistance $8.00 - $8.50.
Sell (critical stop loss): An immediate stop loss order should be placed at the close of an hourly candle below $6.80 - 7 🚨.
Now we have a technically inevitable rebound. Be quick to enter to catch the rebound, but stick to a stop loss below the historical bottom.
Important note: This is not investment advice. Do your own research and trade cautiously.
