Maker (MKR) Continues Consolidation at the Bottom after Breakdown from Range

Maker (MKR) Continues Consolidation at the Bottom after Breakdown from Range

Key Resistance Levels: $600, $700, $800
Key Support Levels: $400, $300, $200

MKR/USD Price Long-term Trend: Ranging
Maker has been trading below the $800 since February. The bulls have made efforts to break above the $800 but could not penetrate the resistance level. After several attempts, the coin fell to the low of $400 and commenced a range bound move above the support line. On November 10, the price made an upward correction to the high of $700 but was repelled. Nevertheless, the coin has been confined to fluctuate between the levels of $400 and $700.

MKR/USD - Daily Chart

Daily Chart Indicators Reading:
The 50-day SMA and the 21-day SMA are trending horizontally indicating that the coin is in a range-bound movement. MKR is trading below the 40% range of the daily stochastic which indicates that the coin is in a bearish momentum.

MKR/USD Medium-term bias: Ranging
On the 4-hour chart, the coin is also in a range-bound movement. MKR is fluctuating between the levels of $440 and $600. On the lower time frame, the coin is depreciating as it faces selling pressure at the $700 resistance level. The resistance and support lines have been tested twice as the coin trades horizontally. The coin is trading at $505 at the time of writing.

MKR/USD - Daily Chart

4-hour Chart Indicators Reading
The blue line and red line moving averages are horizontally flat indicating that the coin is still in a range-bound movement. The Relative Strength index period 14 level 49 indicates the coin is approaching the bullish trend zone. Presently the coin is ranging.

General Outlook for MKR
The coin had been relatively stable since July. This is an investment that is good for position traders. The coin seems to lack buyers at the upper price levels. Maker has depreciated from a high of $700 to a low of $500. The bulls have defended the support at $400 as bear attempts taking the below the low of $400.

MKR Trade Signal
Instrument: MKRUSD
Order: Buy Limit
Entry price: $400
Stop: $350
Target: $700

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Author : Azeez Mustapha

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Azeez Mustapha is an experienced author, trader, markets analyst, signals strategist, and funds-manager.