Stellar (XLM) – Struggling to gain more positive groundPosted on Wednesday, June 8 2022 at 8:57 pm GMT+0000
Stellar (XLM) has been edging sideways over the last couple of days, slightly beneath the Ichimoku cloud, after it successfully broke above the descending regression channel stretched from the March 31st top.
Currently, although the Ichimoku lines are positively intersected they are not indicating a definitive directional charge. Nevertheless, the oscillators are suggesting that the bullish momentum is ticking up, as the momentum indicator is rising in its positive territory, and the Awesome oscillator is creeping higher north of its zero mark.
Hence, although immediate risks seem tilted to the upside, a thrust above the lower surface of the cloud and the nearby late May high of 0.154 may be immediately halted near the February 24th inside swing low of 0.162. Nevertheless, only a sustainable move above the latter may raise buyers’ confidence for a more meaningful rally, bringing initially the May 5th high of 0.188 into scope.
On the flip side, a decisive close below the Kijun-sen line will open the gates towards the May 27th bottom at 0.119, which overlaps with the upper-line of the channel. Should this foundation fail to negate bearish pressures from snowballing, the price could then drop to the 18-month low of 0.102, hit on May 12th.
Summarizing, Stellar is adopting a weak tone between the Ichimoku lines, struggling to gain more positive ground. For that to change, the price will need first to jump inside the cloud and more importantly overstep the 0.162 barrier.