Stellar Advances in Points to Bigger Bullish Rally

The STR/USDT pair became bearish in July after it broke crucial support at 0.03025151. The market established a low at 0.00625884 mid September and has been rallying since. It reclaimed 0.03025151 a month later. The pair will likely remain bullish as long as it is above that level.

Currently, the market is forming a large bullish continuation pattern that has the potential to take the pair into a new all-time high. The key area to breach is major resistance at 0.05060355. Breakout at that level will attract speculators and traders, and give the market enough momentum to reach the target of 0.09000000. As always, keep an eye out for volume. STR/USDT must print volume of above 184,058 USDT on Poloniex to validate the breakout.

So, the strategy is to buy as close to the next support level of 0.03754179. Technical indicators show that the market is not yet ready to make its move which gives you a chance to place your orders. Should the pair become aggressively bullish, buy on breakout after confirmation of volume.

Summary of Strategy

Buy: as close to 0.03754179 OR confirmed breakout at 0.05060355 with volume of above 184,058 USDT at Poloniex

Support: 0.02950326

Resistance: 0.04534963

Target: 0.09000000

Stop: close below 0.02950326

 

Disclaimer: The writer owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Kiril is a CFA Charterholder and financial professional with 5+ years of experience in financial writing, analysis and product ownership. He has passed all three CFA exams on first attempt and has a bachelor's degree with a specialty in finance. Kiril’s current focus is on cryptocurrencies and funds, as he does his own crypto research and is a Product Manager at Mitre Media. He also has his personal website, InvestorAcademy.org where he teaches people about the basics of investing. His ultimate goal is to help people with limited knowledge of finance and investments to create investment portfolios easily, and in line with their unique circumstances.