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Stellar’s Lumen Technical Analysis – Support Levels in Play – 10/10/18

By:
Bob Mason
Published: Oct 10, 2018, 04:12 GMT+00:00

Market forces see Stellar's Lumen give up early gains, with a move back through $0.2475 needed to support afternoon rebound.

stellar xlm

Key Highlights

  • Stellar’s Lumen fell by 0.91% on Tuesday, partially reversing Monday’s 2.39% rise, to end the day at $0.24835.
  • A reversal through the morning saw Stellar’s Lumen fall through the first major support level at $02446 to an intraday low $0.2435 before recovering.
  • A start of a day intraday high $0.25065 saw Stellar’s Lumen come up short of the first major resistance level at $0.2580.
  • Steering clear of testing support at the 62% FIB Retracement Level of $0.2289 continued to leave the near-term bullish trend intact.

How to Buy Stellar’s Lumen

Stellar’s Lumen Price Support

Stellar’s Lumen slipped by 0.91% on Tuesday, partially reversing Monday’s 2.39% gain, to end the day at $0.24835.

A bearish start to the day did the damage for Stellar’s Lumen, which slid from an early morning intraday high $0.25065 to an early afternoon intraday low $0.2435, the reversal seeing Stellar’s Lumen fall through the first major support level at $0.2446 before steadying, $0.23 levels and the day’s second major support level at $0.2386 avoided.

Finding support through the 2nd half of the day, Stellar’s Lumen managed to move back through to an afternoon high $0.24887, while unable to break back through to $0.25 levels to take another run at the first major resistance level at $0.2543, negative sentiment across the broader market pinning Stellar’s Lumen back late in the day.

Stellar’s Lumen has struggled since the near-term bullish trend formed at 23rd September’s swing hi $0.305, with a pullback through the 38.2% FIB Retracement Level of $0.258 raising doubts over whether Stellar’s Lumen can make a move back through the 23.6% FIB Retracement Level of $0.2759, with any slide through the 62% FIB Retracement Level of $0.2289 considered a reversal of the near-term bullish trend.

At the time of writing, Stellar’s Lumen was down 1.71% to $0.24461, a move through to an early morning high $0.24899 coming up short of the first major resistance level at $0.2515, before hitting reverse, Stellar’s Lumen falling to a morning low $0.24461 to hold just above the first major support level at $0.2444.

For the day ahead, a move back through to $0.2475 would support a move back through the morning high $0.24899 to bring $0.25 levels and the day’s first major resistance level at $0.2515 into back play, with Stellar’s Lumen needing to move back through $0.2475 through the morning to support an afternoon recovery.

Failure to move back through $0.2475 could see Stellar’s Lumen take a bigger hit later in the day, with a slide through the first major support level at $0.2444 likely to bring the day’s second major support level at $0.2404 into play before any recovery, sub-$0.24 support levels unlikely to be tested barring materially negative news hitting the crypto news wires.

XLM/USD 10/10/18 4-Hourly Chart

Looking at the Technical Indicators

Major Support Level: $0.2444

Major Resistance Level: $0.2515

Fib 23.6% Retracement Level: $0.2759

Fib 38% Retracement Level: $0.258

Fib 62% Retracement Level: $0.2289

About the Author

Bob Masonauthor

With over 28 years of experience in the financial industry, Bob has worked with various global rating agencies and multinational banks. Currently he is covering currencies, commodities, alternative asset classes and global equities, focusing mostly on European and Asian markets.

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