XRPUSD looks vulnerable to more downside.

Despite making new higher highs this week, XRPUSD is now trading below last week's lows. This is a sign of weakness. Price briefly moved above the key resistance of $1.35 but bulls were not strong enough to support it. Price has turned sharply lower challenging the August lows.

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The weekly candlestick so far implies that more downside should be expected. The inability to hold the new highs and the turn around back towards the $1 price level were signs of weakness. The entire upward move from $0.50 is most probably complete and price is now in a corrective pull back. So far price has retraced 50% of the entire upward movement. If price breaks below $0.95, we should expect a move lower towards $0.80-$0.83. Current price action justifies such a decline. However in our longer-term view, our preferred scenario remains the one where we see the formation of a higher low and the continuation of the up trend above $2.





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Alexandros Yfantis
Analytical expert of InstaForex
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