CHZ Technical Analysis: Will Breakout Rally Sustain in Shivering Market?

Key technical points:

Past Performance of CHZ

CHZ prices have been trapped in a bearish downtrend accounting for a 68% downfall and a lower high formation in the daily chart. The depreciating market value and the lower high formation create a descending resistance trendline keeping every bullish attempt in check and avoiding trend reversal. Finally, however, the bullish stronghold at $0.095 halts the free fall and pushes the market value above $0.10, resulting in the trendline breakout.

Source- Tradingview

CHZ Technical Analysis 

Despite the bullish recovery from $0.095, CHZ prices struggle to surpass the $0.12 resistance level. Due to the increased selling pressure, the higher price rejection is evident in the long-wick formation. Therefore, buyers must wait for the price action confirmation to avoid getting trapped.

The Daily Moving Averages – 20, 100, and 200-days maintain a bearish alignment and showcase a falling trend. However, the trendline breakout rally surpasses the 20 DMA and projects a likelihood of approaching the 50 DMA.

The RSI indicator shows a surge in the underlying bullishness as the slope crosses above the 14-day average and the halfway line after the downfall from the overbought zone. Furthermore, the MACD indicator shows a bullish recovery in the histograms as the fast and slow lines avoid a bearish crossover.

Hence, the technical indicators project a rise in the underlying bullishness with the possibility of a price jump to 50-DMA.

In a nutshell, the trendline breakout rally may inflate the CHZ market value to $0.15.

Upcoming Trend

If the CHZ price surpasses the $0.12 resistance level, we might see the bullish continuation to the 50-DMA close to the psychological barrier at $0.15. However, a failure to withstand the selling pressure might lead to a reversal to $0.10.

Resistance Levels: $0.12 and $0.15

Support Levels: $0.10 and $0.095