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Stellar’s Lumen Technical Analysis – Resistance Levels in Play – 27/05/19

By:
Bob Mason
Published: May 27, 2019, 03:00 UTC

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.

XLM values of stellar and buying crypto currency on the exchange. Copy space.

Key Highlights

  • Stellar’s Lumen rallied by 7.58% on Sunday. Reversing a 0.74% loss from Saturday, Stellar’s Lumen ended the day at $0.13421.
  • A late morning intraday low $0.12174 saw Stellar’s Lumen fall through the first major support level at $0.1229.
  • A late intraday high $0.1360 saw Stellar’s Lumen break through the major resistance levels and 23.6% FIB of $0.1310.
  • The bearish trend remained firmly intact in spite of a relatively bullish run since early February. Stellar’s Lumen continued to fall short of the 38.2% FIB Retracement Level of $0.1643 to take a run at the 62% FIB of $0.218

How to Buy Stellar’s Lumen

Stellar’s Lumen Price Resistance

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.

XLM/USD 27/05/19 Daily Chart

For the day ahead,

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.

Looking at the Technical Indicators

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

Please let us know what you think in the comments below

Thanks, Bob

About the Author

Bob Masonauthor

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.

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