IOTA seen from the temporality of 1D we can see how the structure of candles during the previous LL formed a downward parallel channel where it has finally broken it up and tested correctly to then see the current bullish impulse of the current candle which has found resistance at 0.3161, the candle is forming a doji, a bearish signal by which we must prepare for a retreat to the nearest demand level located at 0.2716, the wick has already touched that point, however, we need a candlestick approach in order to determine if the price will continue to rise beyond resistance, in the chart above I have drawn the possible trajectory that the price should follow during its advance to our first target which is located within the price range of 0.3797 – 0.4034.
IOTA seen from the temporality of 1W we can see a broader view of the current price movement, in the image above we can see how the price has formed us an HL, marked on the chart with the diagonal trend of dark blue, after two candles bullish low volume, this week the candle has “shot” powerfully, the consolidation within this range has been long throughout this year, which gives us an indicator that in a short time we could see an upward break in the resistance of the figure we see in the graph, for this to happen we would have to mark an HH and a new HL above the resistance located at 0.3161, if this happens, the alarms on a much larger next bullish move will be very high, the next profit targets are indicated within the chart, with the second target located at 0.7202 and the third target located within the price range of 0.9348 – 1.0904.
In conclusion, the IOTA price has moved very well this week, it needs to stay above 0.2716 and above the diagonal support if we want to continue seeing a next bullish candlestick, otherwise the price could fall towards the area of possible pullbacks indicated in the 1W chart, the bullish possibilities are greater than the bearish ones, as we must always be attentive to the action of the price in 1D and 4H and look for the best entry, I also recommend to be attentive to the action of the BTC price, as the price position is not yet decided, so any jolt on the part of BTC would affect the whole market.
As I always say, you have to be aware of the movement, invalidations can occur, there is no 100% reliable analysis, take your own precautions when trading.
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