Kadena (KDA) – Expected to significantly intensify the negative bearingPosted on Wednesday, April 27 2022 at 9:17 pm GMT+0000
Kadena (KDA) was forced to move back after marking a slight recovery a couple of days ago, thanks to resistance from the 55-period exponential moving average which has been curbing upside movements almost since the beginning of April. Moreover, the persistent negative bearing of the 20- and 55-period exponential moving averages is sponsoring the current short-term negative structure.
Presently, the short-term oscillators are suggesting that sellers are maintaining the bearish mood for Kadena. The MACD, south of the zero threshold, is hovering hand in hand with its red trigger line, while the ROC is diving in the negative territory.
For the recent descent to get more legs, the price will need to drift past the recent intraday low of 4.50. In such a case, bears will initially target the 161.8% Fibonacci level at 4.04 before sinking the price towards the 261.8% Fibonacci extension level at 3.28.
Alternatively, if buying interest picks up and pushes the price over the 20-period exponential moving average, the bulls will then jump to test the 5.05-5.25 resistance border, which took shape around the 18th of April low and the 25th of April high, and includes the 55-period exponential moving average. If positive pressures endure, buyers will be encouraged to challenge the 20th of April high at 5.77.
To summarize, Kadena is exhibiting a strong negative bearing, which could significantly intensify with a break below the 4.50 support. That said, a successful climb in the price over the 5.25 resistance barrier may boost optimism for a more meaningful recovery.