Why Quant May Be Ready To Breakout To Fresh All-Time Highs
Deron Wagner | Sep 30, 2021 01:07AM ET
Leading cryptocurrency Quant (QNT) is now poised for potential breakout from a bullish pennant pattern. Here is a simple walk-through that shows you why QNT may be one of the top crypto swing trade setups in the market now!
On Sept. 23, we sold QNT in the Model Crypto Portfolio for a quick gain of +13.5% on a 3-day crypto swing trade.
Now, Quant is once again setting up for a lower-risk buy entry on a pullback to major area of key price support.
h2 Quant rallies to +75% in model portfolio/h2On Aug. 8, we first put a buy entry on QNT.
The following week, we highlighted the bullish chart pattern of QNT in our Aug. 16 post, then analyzed Quant further in 3 Explosive Cryptos Setting Up for Potential Buy Entry Now a few days later.
QNT has continued trending steadily higher since then, and is currently showing a price gain of +75% in the Model Crypto Portfolio.
But separately from that position, QNT is now setting up for potential pullback buy entry that could soon lead to a massive breakout.
h2 QNT Buy Setup: Breakout entry walk-through/h2QNT has been chopping around in a range the past few days, but is now coming into a support area of triple price convergence.
On the daily chart of QNT below, notice how the following three technical support levels all converge in the same area:
- 50-day moving average (red line)
- Dominant uptrend line
- Support of prior swing lows
With this type of chart pattern, odds favor an upside breakout of the pennant.
However, we would not be surprised to first see a quick undercut and shakeout below obvious support that swiftly snaps back.
If QNT breaks out to the upside, watch for higher volume to confirm the breakout.
h2 Buy Entry/h2We are looking for a potential buy trigger price for swing trade entry above the $310 area.
Specifically, we are looking for QNT to break out above the downtrend line from its all-time highs:
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A move above the $310 level would also put QNT back above resistance of its 50-MA on the 4-hour chart–a useful indicator in our trading strategy.
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