TWT Technical Analysis: Trendline Retest Brings Buying Spot In Token

The TWT price action shows a successful post-retest reversal of a descending triangle breakout in the daily chart. Furthermore, a bullish pattern arises with a neckline at $1, potentially reaching the $1.18 mark. But the higher price rejection in the daily candle due to the opposing 50-day EMA keeps the bullish growth under check. So, will the buyers beat the 50-day EMA?

Key Points:

Source - TradingView

TWT Technical Analysis

As mentioned in our previous analysis, the price trend reverses after a successful retest of the broken resistance trendline. Currently, the price trend remains within the 50 and 100-day EMA, projecting a consolidation range in the daily chart.

However, the post-retest reversal candle shows higher price rejection from the 50-day EMA, reflecting a strong overhead opposition. Nonetheless, the spike in the trading volume supports the bullish launch from the broken trendline.

Source - TradingView

Further analyzing the TWT price action, a cup and handle pattern can be seen in the daily chart with a neckline at $1. The bullish reversal from the broken trendline aims to complete the bullish trendline.

Therefore, sideline traders can expect the reversal rally to reach the $1 mark and potentially give a bullish breakout. The unleashed trapped momentum will hit the $1.18 mark for a 25% jump from the current market price.

Conversely, a reversal from the $1 mark will dump the TWT price to reach the 50-day EMA at $0.95.

Technical Indicators

The RSI indicator shows a bullish reversal from the Halfway line, and the rising trend in the 14-day reflects an increase in the underlying bullishness. Moreover, the increasing gap between the fast and slow lines with the spike in the bullish histogram projects increasing buying pressure.

Therefore, the TWT technical analysis suggests that traders can find a buying opportunity at the current market price.

Resistance Levels - $1 and $1.18

Support Levels - $0.93 and $0.88