Let’s examine the insights shared by our Technical Analyst at UseTheBitcoin as he walks us through his personal trading approach and observations on the crypto market.
JasmyCoin (JASMY) Technical Analysis: Weekly Fair Value Gap Overview
Jasmy has reached a significant fair value gap (FVG) at $0.066 and $0.056 on the weekly timeframe. Fair value gaps are order imbalances during price surges, leaving a gap between three candles. These gaps act as a strong magnet, pulling prices back to these levels as traders are naturally drawn to fill these imbalances. This explains why Jasmy has returned to these areas.
Fair Value Gap As Resistance
FVGs can also serve as dynamic support or resistance levels. In Jasmy’s current case, this FVG could act as a resistance zone. If you bought Jasmy at a lower price, it’s wise to set a cut-loss at 0.049 to protect your gains in case of a reversal.
If You Have No Position Yet
For those without an active position, staying on the sidelines is a smart move. Entering now is risky, as the FVG is acting as a resistance. The safer strategy is to wait for Jasmy to break out of this FVG and consolidate above it. Once that happens, it presents an ideal opportunity to position again.
Potential Targets
If Jasmy successfully breaks out of the current FVG, the next potential targets are between $0.15 and $0.13. However, achieving this depends on Jasmy’s ability to sustain momentum and clear its current resistance.
If JASMY Fails To Break Out
If Jasmy fails to break above the current FVG, it’s better to wait for a retracement to Fibonacci golden levels, which are $0.047 to $0.040. These levels are often considered reliable zones for potential price bounces. If you plan to enter these levels, ensure your cut-loss is at 0.038 to minimize downside risk.
Final Thoughts
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