Stellar Price Analysis: XLM/USD overvalued, faces bearish correction
|- XLM/USD bears stepped into the market following four straight bullish days.
- The RSI is trending inside the overbought zone, showing that XLM/USD is presently overpriced.
XLM/USD daily chart
XLM/USD bears stepped into the market as the price dropped from $0.0901 to $0.0875 following four straight bullish days. XLM/USD is presently overvalued, given that the daily price chart is trending above the 20-day Bollinger Band and the RSI is hovering inside the overbought zone.
As such, a bearish correction was inevitable. However, the MACD shows that the overall market momentum is still bullish. The SMA 20 is looking to cross over the SMA 50 to chart the bullish cross pattern.
Support and Resistance
XLM/USD has bounced down from the $0.0901 resistance line. On the downside, there are four healthy support levels at $0.0829, $0.080, $0.0721 (SMA 50) and $0.071 (SMA 20).
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.