Technical analysis by Aroundthesun about Symbol MANA: Buy recommendation (12/28/2024)

Cup and Handle Pattern:The chart shows a classic cup and handle pattern. This is a bullish continuation pattern:The cup phase has completed, showing a rounded bottom, which is a strong base formation.The handle phase is currently in progress, forming a slight downward consolidation.Key Levels:Cup Resistance: Around $0.65 - This is the breakout level from the cup's rim.Handle Support: Around $0.46 - This is the lower bound of the handle's consolidation.Key Support Levels:$0.46 (Handle Support).$0.22 (Major Horizontal Support).Projected Target:Upon breakout above the $0.65 resistance, the target can be calculated by adding the height of the cup ($0.65 - $0.22 = $0.43) to the breakout level. This gives a target of approximately $1.08.Trend Analysis:After a strong bullish breakout earlier in the year, MANA is currently consolidating in a descending wedge or falling channel. This pattern is typically bullish if the price breaks to the upside.The support and resistance lines of the wedge are well-defined, and a breakout is anticipated soon.Key Levels:Support: Around $0.2933 (strong horizontal support from previous lows).Resistance: Around $0.60 (recent highs and psychological level).Descending Resistance: Defined by the upper trendline of the wedge.Indicators:MACD: A bullish crossover appears to be forming, suggesting potential upward momentum.Volume Oscillator: Low volume during the consolidation phase, which is normal for wedge patterns. Watch for an increase in volume on a breakout.MFI (Money Flow Index): At 71.09, the MFI is approaching overbought levels but still supports upward momentum.RSI: At 66.93, the RSI is nearing overbought territory, indicating some caution.DMI (Directional Movement Index): The -DI (bearish strength) is converging with +DI (bullish strength), and ADX (trend strength) is moderate, suggesting that the trend is undecided but could intensify after a breakout.