Sandbox continues to drift lower, bears to push SAND to $3.80
|- Sandbox price down 14% from Monday.
- Buyers are entering and buying SAND near two-month lows.
- Downside pressure remains strong and the most likely direction.
Sandbox price has made a slight bounce during the Thursday trading session, attempting a bullish daily close after three straight days of losses. However, sellers remain in control, and bulls will need to make some significant gains to convert SAND back into a bull market.
Sandbox price recovers slightly but remains at risk for a more profound drop
Sandbox price is in a clear downtrend within the Ichimoku Kinko Hyo system. Furthermore, no daily support exists within the Ichimoku system, signaling a wide-open range to continue moving lower. However, downside risks should be limited to a confluence zone of support near $3.80, where the bottom of the bull flag and the 38.2% Fibonacci retracement sit.
The current $0.10/3-box reversal Point and Figure chart presents a long trade opportunity based on a Pole Pattern. Pole Pattern entries require at least five boxes below the multiple top/bottom, but no more than fifteen boxes. The entry on a Pole Pattern is at the 50% retracement of the pattern. For Sandbox price, the 50% retracement is at $4.60.
The theoretical long trade is a buy stop order at $4.60, a stop loss at $4.20, and a profit target at $6.20. The trade represents a 4:1 reward/risk setup with an implied profit target of 36% from the entry. A two-box trailing stop would help protect any implied profit made after the entry.
SAND/USDT $0.10/3-box Reversal Point and Figure Chart
The long entry is invalidated if Sandbox price has a daily close at or below the $3.80 value area.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.