XRP Price Action is impulsive above key structural Daily S/R levels, confirming a back test with increasing volume will show strength in the short term. Price Action of now is trading under a key resistance zone the needs to be cleared.
- Bullish Order Blocks and Bullish Volatility Expansions
- Key Dynamic and Daily S/R Levels
- Declining Volume Profile and Volume Influxes
XRP Price Analysis: XRPUSDT 12h Price Action Chart
Observing XRPUSDT’s chart above, XRP Price Action initially respected its Bullish Order Block that was in technical confluence with the Daily S/R Support Level. Holding this level was critical to maintain a Bullish Bias, evidently being the case as a strong Bullish Expansion followed suit. This Bullish Volatility Expansion had increasing volume allowing it to break key resistances.
The Dynamic S/R was compressing XRP Price Action into its Apex until it was successfully breached with a confirmed back test. This was the initial sing of an impulse coming to fruition as the overlying Weekly S/R was breached with conviction.
As of current, the Volume Profile has had a strong influx after a succession of Declining Volume.
When the Volume Profile is on a Decline as Price Action reaches its Apex, it increases the probability of a breakout being imminent. Follow through is critical to sustain momentum, especially when a back test of the Daily S/R comes to fruition – failure will be indicative of weakness.
Hope this article helps when making discretionary decisions
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