ADAUSD Long

Williams Alligator Indicator shows the lines ¨eating with an open mouth¨ (lips, teeth and jaw lines moving upwards and far away from each other), with the candlesticks above the lines, meaning ADAUSD is in a strong uptrend.

RSI shows that ADAUSD has recently experienced a correction, which might correlate with the red candlesticks forming recently. Currently, ADAUSD is not overbought or oversold, therefore, a trend reversal is unlikely in the near future.

MACD line is over the signal line, indicating the presence of bullish momentum.

Candlestick Patterns: 7 days ago bullish patterns emerged: Morning Star & Hammer, which were accompanied by an increasing RSI. When RSI reached 80+ 2 days ago (which indicates the asset is overbought), a correction started to take place, which can be seen with the forming of bearish candlesticks, that could possibly start forming a bearish Evening Star pattern.

Overview: Overall, all indicators suggest that ADAUSD is in a strong bullish trend, but could be currently experiencing a price correction. A long position is recommended, but entry should take place after correction, therefore, entry price is set lower than current price for assurance and stop loss is set at about -5% of entry price.