SOLUSDT Uptrend Returns: Buying Opportunity at Support Zone?
2024-10-07

The SOLUSDT 2-hour chart is showing a bullish trend after the price corrected within the short-term downtrend channel. Here are the key factors to note in this analysis:

 1. Elliott Wave Structure: 
We can observe the formation of an Elliott wave pattern with corrective waves (A, B, C, D, E) completed within the downtrend channel. This is a sign that the correction is over and the uptrend may resume.

After completing wave E, the price broke out of the downtrend channel, showing a positive sign of the possibility of the uptrend continuing.

 2. Support Zone: 
The current support zone is located at 145.00 - 146.00, this is the area where the price bounced strongly after breaking out of the downtrend channel. This zone is currently acting as strong short-term support, and any correction back to this zone can be seen as a buying opportunity.

 3. EMA 34 and EMA 89: 
The EMA 34 (blue) and EMA 89 (purple) are currently intersecting each other and the current price is above both of these EMAs, indicating that the uptrend has started again. This further strengthens the possibility of SOLUSDT continuing to rise in the next trading sessions.

 4. Price target: 
If the uptrend continues, the price target will be the next resistance zone around 157.39, which is a strong resistance zone that the price has failed to overcome in the previous times.

A breakout of this resistance zone could send the price to higher levels, creating a strong uptrend in the medium term.
 5. Trading Strategy: 
Buy Strategy: Traders can look for buying opportunities when the price corrects back to the support zone of 145.00 - 146.00 with the expectation that the price will continue to increase and retest the resistance zone of 157.39.
Stop Loss: Stop loss orders should be placed below the support zone, around 140.00, to protect the position when the price fails to hold this support level.
Take Profit: Target profit at 157.39 or higher if the price breaks the resistance.