A few days back the trading price of Quant (QNT) experienced a significant boost. The price of QNT surged significantly and just when the bulls were getting ready for a strong rally, its price corrected.
This meant that the short-term investors started selling their investments in QNT, which caused its price to correct itself. It started to decline and started moving closer to the support levels.
However, the bulls were not ready to give up that easily, they were quick to respond with their strong buying sentiments. They started to gather close to the support level and were able to cause a rebound.
As the price of QNT moved higher after reaching a lower level, it indicated that the bulls are not ready to let the selling pressure build at the lower levels.
They are buying QNT at the lower levels to form a rally and push the asset’s trading price higher and away from the support mark.
RSI is against the Bears
In the recent trading sessions, the bears have managed to pull QNT’s trading price below the 20-day EMA ($128). As the bulls successfully pulled QNT below the 20-day EMA, it indicated that the bears are strong.
It is due to the strong selling pressure of the bears that they have been able to pull QNT’s price below the 20-day EMA.
However, the RSI does not seem to be going in favor of the bears. Instead, it is forming a positive divergence and seems to be siding with the bulls.
This could indicate ease in the selling pressure of the bears. If that happens, then the trading price of QNT would find an opportunity to rise higher.
QNT to Rise Up to $180
If the trading price of QNT is able to rise over the 20-day EMA, then it would be a strong indication of a bullish trend. This would also indicate that the correction period has ended.
As a result, the trading price of QNT would start moving in the upward direction. The trading value of QNT would also cross the 50-day SMA mark, which is currently represented by $151.
If all goes in favor of the bulls, then the trading price of QNT would successfully rise all the way up to a high of $180.
QNT’s Decline to $79
In the case where the RSI does not go in favor of the bulls, the trading price of QNT would start moving toward the decline. The value of the asset may lose its ground and fall below the $100 mark.
This would result in the initiation of a strong selling spree that may pull QNT to a low of $87 followed by another decline to $79.