Momentum. Looking at the short term, the current price is 0.1486, which is firmly above MA5 (0.1529) and MA10 (0.1531). Although there is still some distance from MA60, this means the short-term trend has completely reversed, entering a rebound or even upward channel from a downward channel. The price is moving upward along the short-term moving averages, which is one of the most classic bullish initiation patterns.
Third, the breakthrough of key resistance and the resonance of market sentiment.
Pay attention, the highest price in 24 hours is 0.1580, and this position is likely to be an early small platform or psychological resistance level. After the price surge, there was no waterfall-like crash, but a gentle pullback to digest profit-taking, currently holding above 0.1486. What does this indicate? It indicates that the market's selling pressure was largely absorbed after the first surge, and the bulls are very resilient. Moreover, appearing on the 'gainers list' itself attracted the attention of the most aggressive hot money across the platform, creating an emotional resonance.
My analysis and thoughts
Brothers, after so many years in the circle, I believe in one principle: 'price speaks for everything.' All news and narratives ultimately must reflect in the candlesticks and volume. The way AXL is moving resembles a planned initial surge after accumulating at the bottom range. There are two purposes: one is to test the selling pressure above, and the other is to attract market attention to prepare for subsequent actions. On the daily level, it is still in a deep pit, which means once the trend is established, the upside potential is very large, but of course, the volatility will also be extremely fierce.
What should we do next
1. For those already on board, hold steady but fasten your seatbelt. If you have already positioned at a low level, congratulations. Firmly move the stop loss position up to just below the starting point of this round of rise at 0.1190, with the aim of preserving most of the profit. As long as the price does not fall below the support of the short-term moving average cluster (MA5, MA10), you can continue to hold and let the profits run.
2. If you want to get on board, remember two words: rhythm. Absolutely do not chase high with a heavy position at the current price level (0.1486). There are two more prudent strategies: one is to wait for a healthy pullback, such as a pullback to the MA5 average near 0.1530 and gaining support, then enter with a light position. The second is to wait for the price to break today's high of 0.1580 with increased volume before making a right-side chase. Regardless of which strategy you choose, you must use a light position and set a stop loss (suggested at 3-5% below the entry price).
3. All players, focus on one indicator: volume. If there is a subsequent rise, the trading volume (bar chart) must maintain or even exceed the current level. Once there is 'price rise and volume decrease,' that is a warning signal, and you can consider taking partial profits. If it falls, a rapid decline in trading volume may indicate a washout, and there is no need to panic excessively.
Remember, this is a high-risk, high-volatility battlefield, not a place to gamble your fortune, but to use a bearable loss to pursue trend profits. When you see an opportunity, be as patient as a leopard, and after entering, be as steady as a rock. When risks come, be as decisive as a rabbit and run away. AXL's fire has just been ignited; whether it can become a prairie fire, we will see as we go, but the plan must be made in advance now.
Stay focused, stay calm, we will see you in the market.
