Stellar's Lumen sees red early and will need support from the broader market to recover early losses. Steering clear of $0.1310 levels will be key.
Stellar’s Lumen rallied by 7.58% on Sunday. Reversing 0.74% fall from Saturday with interest, Stellar’s Lumen ended the day at $0.13421.
The Sunday rally reduced the weekly deficit to leave Stellar’s Lumen down by 6.15% for the week, Monday through Sunday.
A relatively bearish start to the day saw Stellar’s Lumen slide to a late morning intraday low $0.12174 before rebounding.
The morning reversal saw Stellar’s Lumen fall through the first major support level at $0.1229.
Tracking the broader market, Stellar’s Lumen rallied through the afternoon to a late intraday high $0.1360.
Stellar’s Lumen broke through the day’s major resistance levels before falling back through the third major resistance level at $0.1343.
The rally also saw Stellar’s Lumen break through and hold above the 23.6% FIB Retracement Level of $0.1310.
The extended bearish trend remained intact, however, with Stellar’s Lumen falling well short of the 38.2% FIB Retracement Level of $0.1643, last tested on 16th May.
At the time of writing, Stellar’s Lumen was down by 0.6% to $0.13341. Moves through the early hours saw Stellar’s Lumen rise to a morning high $0.13614 before hitting reverse.
While holding above the 23.6% FIB of $0.1310, Stellar’s Lumen left the major support and resistance levels untested early on.
A hold above the 23.6% FIB of $0.1310 through the morning would support a recovery later in the day. A move back through the morning high $0.13614 would bring the first major resistance level at $0.1396 into play.
Support from the broader market would be needed, however, for Stellar’s Lumen to break out from this morning’s and Sunday’s high $0.136 levels.
Barring a broad-based crypto rally, Stellar’s Lumen would likely struggle to return to $0.1360 levels on the day.
Failure to hold above the 23.6% FIB of $0.1310 could see Stellar’s Lumen take a bigger hit on the day.
A fall through to sub-$0.1300 levels would bring $0.1270 levels into play before any recovery.
Barring an extended crypto sell-off, Stellar’s Lumen would likely steer clear of the first major support level at $0.1253.
Major Support Level: $0.1253
Major Resistance Level: $0.1396
23.6% FIB Retracement Level: $0.1310
38% FIB Retracement Level: $0.1643
62% FIB Retracement Level: $0.2180
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Thanks, Bob
With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.