Technical Analysis and trading strategy for政和 (SOL) on November 29

Key Price Level (USD)
• Support Level: First support at 135, strong support at 130 (the key bottom where multiple rebounds have stabilized, significantly rising after touching this area twice in historical trends), extreme support at 95 (key point of the rising trend line, breaking below will strengthen the downward tone).
• Resistance levels: First resistance at 160 (20-day EMA position), strong resistance at 170 (neckline resistance area of the V-shaped reversal pattern), target resistances at 200, 250 (if the neckline is broken, potential target levels continuing historical trends).
Core Technical Indicator Signals
• Daily level: The current price is below the 50-day, 100-day, and 200-day EMA moving averages, with the moving averages showing a downward trend forming a supply zone; the MACD line is slightly above the signal line and the histogram is moderately positive, indicating initial upward momentum, but the MACD has been consistently negative before and the histogram had gradually lengthened, indicating that the bearish forces were once quite strong; the RSI has rebounded from the oversold zone but has not yet broken through the midline, and a clear bullish signal has not yet formed.
• 4-hour level: Since November 11, it has formed a V-shaped reversal, with volatility converging and the bottom continuously rising; the RSI has rebounded from 28 on November 13 to a neutral level of 50, with bullish momentum gradually accumulating, but a clear golden cross signal to accelerate the market has not yet appeared.
• Market Structure: The open interest of perpetual contracts is synchronized with spot buying, enhancing the market, and the funding rate has turned positive, leading to increased bullish sentiment in the futures market; however, it is overall in a strong consolidation phase, with chips being redistributed during the sideways movement, waiting for a catalyst for the market.
trading strategy
• Long Strategy: Accumulate positions in batches when retracing to the 130 - 135 range, with a stop loss set below 128 to avoid breaking through key bottom support; if it stabilizes above 160 with increased volume, you can add positions accordingly, with subsequent targets at the 170 neckline and 200 target.
• Short selling strategy: Lightly short in the resistance range of 159 - 162, with a stop loss above 165; if it breaks the key support at 130, can take a small position to short, targeting the ascending trend line at 95, and if it breaks 95, look further down towards the vicinity of 100.
• Position Strategy: The existing long position should have 130 as the core defense line, and reduce positions immediately if it breaks below; shorts need to be wary of the rebound risk after the 170 neckline breakout, and should stop loss and exit in a timely manner after the breakout to avoid missing the trend reversal.