NEAR Technical Analysis: Can This Breakout Rally Shoot Prices To $12?
Table of contents
Key Technical Points:
Past Performance of NEAR
As predicted in our previous analysis, the NEAR prices break above the inverted head and shoulder neckline at $4.75 to reach the overhead resistance of $5.69. However, the higher price rejection at $5.69 evident by the wick formation in the daily candles teases a bearish retracement. Moreover, the price action inchoates a rounding bottom pattern in the daily chart with a neckline at $7.38.
Source - Tradingview
NEAR Technical Analysis
Currently, the NEAR price action displays a bearish influence over the daily candle teasing a retracement to the rounding bottom's curve. However, traders can find this as a buying opportunity to enter before the bullish breakout.
As the market price breaks above the 100-day average price, the 50-day SMA takes a positive turnaround. Moreover, the spike in the trading volume during the bullish candle formation reflects highly committed buyers.
The daily-RSI slope maintains a positive trend approaching the overbought zone reflecting a solid underlying bullishness. Moreover, the MACD indicator shows an out-of-control bullish trend in the fast and slow lines with a spike in the MACD histograms.
In a nutshell, the NEAR technical analysis displays a bull run gaining momentum, increasing the possibility of rounding bottom completion.
Upcoming Trend
If the NEAR price trend sustains the buying pressure, the market value may reach the $7.38 mark shortly to complete the rounding bottom pattern. Moreover, the bullish breakout rally might exceed the psychological mark of $10 to reach the $11.78 mark.
Resistance Levels: $6.45 and $7.38
Support Levels: $4.72 and $3.5