EIGEN Technical Analysis
Analyzing the EIGEN chart, we clearly see that the symmetrical triangle formation we have been following for a long time has broken above, and the price gained momentum swiftly following this breakout. It is known that such breakouts are usually considered a strong signal that the trend may continue. The price is currently trading around the level of $1.83, and the upper border of the triangle now stands as a support.
Holding above the level of $1.75 in the short term supports the general outlook. The first target points to the level of $1.93 above $1.75, and the technical target of the formation following the breakout is $2.50. EIGEN could see some profit-taking around this level, as it is also a psychological threshold. Holding above $2.50, the price could go up to test the next resistance levels at $2.72 and $3.60 in the mid to long term.
However, the upper border of the broken triangle and the level $1.50 stand as key supports below, according to a bearish scenario. The uptrend will continue as long as the price holds above these levels, and possible pullbacks could only offer buying opportunities.
Important Levels to Watch
- Support levels: $1.75 → $1.50
- Resistance levels: $1.93 → $2.50 (short-term target) → $2.72 → $3.60
These analyses, not offering any kind of investment advice, focus on support and resistance levels considered to offer trading opportunities in the short and medium term according to the market conditions. However, traders are responsible for their own actions and risk management. Moreover, it is highly recommended to use stop loss (SL) during trades.
