Chart along with the recent bullish reversal from the 0.786 Fibonacci level.
Furthermore, the potential of a breakout is raised by rising purchasing pressure and rising mood. Therefore, will we return to the $3 level or can the buyer maintain this level? But should you seize the opportunity at lower prices or wait for the breakout?
From the 0.768 Fibonacci retracement level, the NEAR price increases. Sellers at $7.4 will be put to the test by a breakout rally from $6.15. The NEAR has a $635 million intraday trading volume, which is an increase of 113%.
A bearish retracement followed the positive turn in the NEAR prices from $3 in late July because it was unable to withstand the rising selling pressure near the $6.15 supply zone. The bullish rounding pattern was destroyed by the reversal to $3.70, which also caused a 38.2% decline. However, because buyers buffered the falling trend, the bearish phase was unable to cross the $3.70 support level, which caused a lateral shift in trend. Buyers grabbed control of the trend control to produce a bullish breakout after a few days of consolidation below $4.71 and the 50-day EMA.
The 0.786 Fibonacci level at $3.70, where the bullish momentum was last active, inclines a cup and handle with a neckline in the $6.15 supply zone. To finish the bullish pattern, the prices must rise over the above barrier.
With a gain of 6.19% and a long-wick structure, the daily candle currently reflects increasing bullish impact and decreased price rejection. The likelihood of a bullish pattern breakout is also increased by the rising trend in the teasing volume which highlights the bullish trend.
The prices will most likely return to the 0.786 Fibonacci level at $3.70 if they reverse course from the psychological threshold of $6.
Technical indicator
Relative strength index: The 14-day SMA's positive growth is influenced by the daily-RSI slope's surge above the midpoint and close to the overbought zone.
DMI indicator: As trend momentum picks up, as shown by the rising ADX line, the bullish gap between the DI lines widens. Thus, increased positive views are reflected in the technical indicators, which may soon lift the NEAR market value over the $6.15 supply zone.
NEAR Price
Levels of resistance: $5.5 and $6.2
Levels of support: $4.7 and $3.75
