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The IOTX 4-hour level is currently in the callback stage, and the callback has happened to reach the 0.5-0.618 area of the Fibonacci sequence, as well as the former resistance (current support and resistance swap area). Here we can understand that the current price is a resonance signal of a support area.
Some new entrants may not know what the support area is. In fact, through the analysis of various technical indicators, everyone will unanimously believe that the price will stop falling.
According to the volume and price analysis at the 4-hour level, we can see that there was a breakthrough with volume in the high area before the breakthrough. After the breakthrough, the market began to pull back. The pullback is a shrinking callback (the entire trading volume begins to decline), which is a downward stop behavior.
The current price is at a support position. In the support area, what we hope to see is that the Air Force will drive the price down with its volume. However, the current trading volume has increased and the Air Force has not followed suit. During the entire decline stage, the Air Force is a process from strong to weak (see Figure 2 ).
Personal opinions (do not constitute investment advice)
Transactions on the left:
1. Currently, 0.55 is a support area and can be entered into the first position in batches.
2. The price of 0.48 is at the upper edge of the shock box range, and it also has a supporting effect.
Transaction on the right:
My personal order opening logic for trading on the right side will conform to the Dow Theory's top-high-bottom-high upward trend structure, and the small time level will conform to the large time level.
For trading on the right, we are currently waiting for the price to break through the 15-minute downward trend line. Please see my analysis in Figure 3.
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