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by Seth Parker on May 3rd, 2018

SALT Analysis – broken resistance => support

On our last analysis of Veritaseum that we made today, I pointed out the importance of the price action principles. I said that you need to follow the price and listen what the price is trying to tell you. Today, the last piece will be written about the SALT coin and the price action principle applies here too. On our previous analysis of the SALT I said:

“Luckily for the buyers, we are still above the 3.30 so the scenario of the broken resistance being tested as a support is still in the game. I am afraid that this support will be broken soon though. The drop from yesterday looks strong and seems like it will be continued in the nearest future. Price coming back below the 3.3 USD will cancel the buy signal and trigger the opposite one with the closest target on the psychological barrier of 2 USD for one SALT. „

Salt coin chart

The price defended the 3.3 USD support and did not trigger the sell signal. Main principle of the Price Action trading was there: broken resistance was positively tested as a new support. That was on the 26th of April. After that, the price went higher and actually made new local highs today, slightly above the 4.6 USD. The sentiment is positive, even despite the fact that the price is about to create a hammer on the daily chart. That can be a negative factor in the short/mid-term but the long-term buy signal seems safe.

By Seth Parker

Seth is a professional trader with over 10 years of experience. He specializes in the technical analysis. His main focus is on the pure Price Action. In his trading, Seth used the trends, supports and resistances and technical formations. Always, the most important thing in his strategy is the money management. Seth reached a proficiency in trading and for the past three years is doing that for a living enjoying the sun and lovely beaches of the Spanish coast.

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