- Stellar’s Lumen gained 0.99% on Tuesday, following a 5.3% fall on Monday.
- A bearish trend has remained intact since the 5th March swing hi $0.40067.
- Tuesday’s intraday highs and lows avoided major resistance and support levels.
- The day high $0.2987 broke through the day’s 23.6% FIB Retracement Level of $0.2921 before pulling back to a day’s end $0.29007
Stellar’s Lumen Price Support
Stellar’s Lumen gained just 0.99% on Tuesday, to partially reverse Monday’s 5.3% tumble, ending the day at $0.29007.
An intraday high $0.2987 fell short of the day’s first major resistance level of $0.3051, with Stellar’s Lumen failing to break through to $0.30 levels for the first time since late December.
A move through the day’s 23.6% FIB Retracement Level of $0.2921 and a failure to break through to $0.30 levels and test major support levels ultimately left Lumen on the back foot, with Lumen pulling back to an intraday low $0.27488, looking to test the day’s first major support level of $0.27163 before a rally in the final hours of the day that saw Lumen move from $0.279 to $0.291 before easing back to the day’s ending $0.29007.
The bearish trend has been in place since Lumen’s swing hi $0.40067 struck in the early hours of 5th March, while Lumen has managed to recover from a swing lo $0.2586 hit in the early hours of March, 9th.
The good news for Lumen investors was the fact that Lumen managed to hold above the day’s major support levels, with a late in the day rally setting Lumen up for relatively positive start to the day this morning.
At the time of writing, Stellar’s Lumen was up 0.13% to $0.28933, with Tuesday’s day end rally having continued through to this morning, with Lumen hitting a start of the day intraday high $0.30084, testing the day’s first major resistance level of $0.30029 early.
The breakout saw Lumen move through the day’s 23.6% FIB Retracement Level of 0.2921, leading to a sell-off at this morning’s high, with Lumen pulling back to an early intraday low $0.28157.
For the day ahead, with Lumen having recovered from the early low to move into positive territory at the time of writing, a move back through the day’s 23.6% FIB Retracement Level of $0.2921 would support another run at $0.30 levels. We will expect plenty of vol at current levels as Lumen looks to find direction through the day, with an early move back through the day’s first major resistance level key to support a run at $0.31 levels and a move through the day’s 38.2% FIB Retracement Level of $0.3129 to test the investor sentiment moving through the day’ 2nd major resistance level.
Failure to break back through to $0.30 will likely see sub-$0.28 support levels tested, with the day’s first major support level sitting at $0.27737. Later in the day, the direction will be sentiment driven and largely linked to updates from the session on cryptocurrencies and initial coin offerings in Congress. We can expect the bearish trend to continue if Congress assesses that the market requires significant oversight later today.
Looking at the Technical Indicators
- Major Support Level: $0.27737
- Major Resistance Level: $0.30029
- Fib 23.6% Retracement Level: $0.2921
- Fib 38% Retracement Level: $0.3129
- Fib 62% Retracement Level: $0.3464
This article was originally posted on FX Empire
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