✴️ Solana Broken Downtrend line and Descending channel (Random?)

١٨ سبتمبر ٢٠٢٣

Yet to be confirmed, Solana (SOLUSD) is in the process of breaking a downtrend, a descending channel as well as moving above EMA10 and EMA21 all in the same day.

While we had similar action in August, when Solana managed to close daily above EMA10/21 just to move lower, this time the MACD went through a full reset.

Back in August, when Solana produced the same signal, the MACD was still above zero with lots of room to move lower.

Today, the MACD is coming up from a low point with plenty of room available for growth, here is the chart:

The financial markets are not random.

The financial markets do have periods where it seems to be of high randomness but other periods are quite predictable and these are the periods that us technical analysts need to spot for trading purposes, these periods we call trends.

Trends are highly organized and structured periods of market action.

Then we have cycles... Even a child can look at a Bitcoin chart and calculate a four year cycle, not random at all I should say.

Remember, markets are random only to those who do not understand them, just like certain phenomena are considered to be "magic", which simply means that people yet do not understand how these phenomena work. Once the phenomena in question is understood, it becomes a piece of technology, a science, not magic at all.

Once you understand, the randomness is gone.

You don't have to believe me, the proof is in the charts.

Namaste.