Technical analysis by elfabiiani about Symbol VLX: Buy recommendation (10/14/2024)

🚀 VELAS: The Future of Blockchain! 🚀NOW is the time to act on VELAS (VLX)! With the return of Alex Alexandrow, a pivotal figure in the Velas ecosystem, the project is re-energized, and bullish momentum is about to take off. This is your chance to get in at the right time before Velas rockets up. The chart shows a clear bullish reversal pattern, signaling a massive breakout potential! The clock is ticking, be part of the next wave in crypto!Technical Analysis of VELAS (VLX) by Blaž FabjanThe 1-hour chart of VELAS shows the formation of a classic falling wedge pattern, which is a well-known bullish reversal signal. Here's a detailed breakdown:Falling Wedge: Bullish ReversalSupport and Resistance: The wedge pattern is narrowing, indicating that the price has been consolidating, building pressure for a breakout.Breakout Imminent: As the price has broken out of the wedge, this confirms a potential bullish reversal. Expect upward momentum in the near future.Technical IndicatorsVMC Cipher B (Volatility & Momentum):The indicator shows signs of divergence, with momentum shifting towards bullish territory. Expect increased buying pressure soon.Look for key bullish signals like green dots or a shift in the oscillator for confirmation.RSI (Relative Strength Index):RSI is hovering around 44.7, indicating that the asset is neutral but leaning towards an oversold condition. This suggests the price is ready to rise as momentum builds.Stochastic Oscillator:The stochastic is bouncing from a low of 47, indicating that bullish momentum is starting to pick up. Crossovers here signal a potential upward trend.Key Levels to WatchImmediate Resistance: $0.01194 — this level is crucial for confirming the bullish reversal. Once broken, it opens the door for further gains.Next Targets: After surpassing $0.01194, the next target is around $0.0166, which is the previous high and a major psychological barrier.Support: $0.01115 — should act as strong support if prices retest this level during a short-term pullback.Trading Plan for VELASEntry Strategy:Entry Zone: $0.0112 to $0.0115 — this area offers a prime buying opportunity with minimum downside risk. Set limit orders in this range.Breakout Buy: If Velas breaks above $0.01194 (resistance), a momentum trade can be initiated, targeting the $0.0166 level.Stop Loss:$0.0108 — place a stop loss below this level, ensuring protection against any sudden downside moves while allowing enough room for price fluctuation during consolidation.Take Profit Targets:$0.014 (Short-term)$0.0166 (Medium-term)$0.017 and beyond (Long-term upside potential)Risk Management:Risk-to-reward ratio should be at least 1:3. Allocate no more than 2-3% of your total portfolio to each trade, maintaining a balanced exposure.Velas is Ready to Fly 🚀With the technical patterns aligning and the return of key leadership, VELAS is poised for a bullish breakout. This presents a golden opportunity for both short-term traders and long-term investors. Don’t wait too long—once the breakout happens, the price could surge quickly!Start building your positions now before the hype takes this token to new heights is my advice :) Best regards, Blaž