Good morning,
Our Daily Charts today will focus on $FB’s announcement and its impact on the crypto world. We hope you will find it useful! In terms of stocks, $AAPL and $AMZN missed their earnings estimates and will impact the tech sector today. Being the last day of the month, expect some increased volatility and a possible move to the moving averages before the dust settles after a busy period of quarterly reports.
$FB chart
On Thursday during their annual conference Facebook has announced the much anticipated company name change to Meta, opening a new exciting chapter in the company’s journey. The name is in line with the company’s recent announcements on Metaverse, which is the strategic direction of the social media’ giant. Mr Zuckerberg further said that the name “reflects who we are and what we hope to build’. Nevertheless, the present headwinds of the company are still very much present and a cautious calculated trade is the best approach in the last trading day of the month. With Amazon and Apple’s disappointing earning results last night staying cautious on tech is the correct approach we consider, including Facebook. Yesterday FB stock showed pronounced volatility, the day’s high being 325.52 while the low at 308.11. This is more than 17 points or over 5% difference in a single trading day. For today’s action these 2 levels are the first resistance and support areas. See how it reacts around those before engaging more in the name. Keep in mind that $FB is still below all exponential moving averages, and it needs to break above 324 to show some relative strength.
$MANAUSD chart
As anticipated by E-Club Trading team – Decentraland (MANA) price exploded with Facebook’s announcement regarding the company name change and strategic direction. Facebook has announced that the metaverse will support NFTs in a boost to the Ethereum ecosystem, where the digital collectibles format has thrived. Facebook said: ““Our goal is to provide a way for as many players as possible to build a business in the metaverse.” As a result one of the main beneficiaries of the announcement is MANA, which is a virtual world where users can virtually buy, develop and sell land. At the time of writing, MANA has surged by more than 40% in less than 24 hours! It currently trades at 1.09USD with a market cap above 1.4B USD. For today the first support is at 1.00USD level (which is also close to yesterday’s high) and 2nd at today’s low – 0.91USD. While 1st resistance is at day’s high – 1.23USD. See how it reacts around this for the sentiment of the day. The coin is still way down from its all-time highs – 1.67USD (35% down).
$ETHUSD
Ethereum price for the time being has also benefited from Facebook’s recent announcements related to the metaverse, trading +7.43% higher vs. 24 hours ago at 4313.49USD, at the time of writing. It is currently trading very close to the all-time highs at 4380USD which is major resistance level. Managing to break and consolidate above this level will prove to be very constructive for the coin’s technical perspectives, which will also help the entire ecosystem profit from tail winds. Our 1st support is at 8EMA = 4137.81USD followed by 3893USD, which is yesterday’s low coinciding with 21EMA.
Thank you for being valued customers of the Eclubtrading community! We hope you had a successful month and managed to participate in the recent rally. Remember to book profits and wait for better setups. Watch the action in $AAPL and $AMZN today for market sentiment and keep an eye on $FB and its metaverse impact on the crypto world.