SushiSwap (SUSHI) showed strength by forming a long wick underneath it on September 9, confirming the $ 9.40 zone as support.

The token is currently traded within a short-term descending parallel channel, the breakout of which could trigger a strong upward movement.

SUSHI check support again

SUSHI has risen since June 22nd. It hit a higher low on July 20th and accelerated its rise, breaking above the $ 9.40 region on August 6th.

This resulted in a high of $ 14.85 on August 11th. Although the token has fallen since then, it has rallied sharply as it hit the $ 9.40 region that is currently serving as support. In addition, this zone also coincides with the 0.618 Fib retracement support.

SUSHI formed a long wick below on September 7th and has been moving upwards ever since.

Technical indicators support the continuation of the upward trend. The MACD is rising and shows almost a reversal signal in the uptrend. The RSI has just risen above 50.

If SUSHI breaks above $ 14.85, there will be virtually no resistance to the all-time high of $ 22.

Daily SUSHI / USDT Chart | Source: TradingView

Trader @CryptoTony claims that SUSHI managed to hold a low of $ 10.30 and that it is likely to make an upward move towards the previous high. This is completely in line with the analysis presented above.

The source: Twitter

Has the customization been completed?

The shorter term six hour chart shows SUSHI trading within a descending parallel channel. Movement within the canal is slow and bouncy, suggesting that it is in a phase of correction.

The sustained upside movement began after the token bounced off the channel’s support line and both the RSI and MACD produced bullish divergences.

Hence, a breakout is likely to occur over the canal.

SUSHI / USDT 6-hour chart | Source: TradingView

Count waves

Returning to the daily chart, SUSHI may have completed a pullback with wave 4 and is now in the fifth and final bullish wave.

The most likely target for the top of the move is the $ 18.22 to $ 18.28 zone. The target is found using the external fib retracement level of 1.61 (black) and the length of waves 1-3 (orange).

Daily SUSHI / USDT Chart | Source: TradingView

You can find the SUSHI prices here.

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Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.

SN_Nour

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