Will MATIC/USD and DOGE/USD Rebound from the Retrace? - Forex News by FX Leaders
Will MATIC/USD and DOGE/USD Rebound from the Retrace?

Will MATIC/USD and DOGE/USD Rebound from the Retrace?

Posted Tuesday, November 2, 2021 by
Eric Nkando • 2 min read

Polygon (MATIC/USD) Below the 20MA, but Still Looking up

Polygon (MATIC/USD) broke out from a consolidation pattern on October 25 and rallied in an upward trend of higher highs and higher lows. However, on October 29, the pair met resistance at $2.21 and retraced to $1.81 on October 31. 

At the time of writing, MATIC/USD was trading at $1.88, and still facing bearish pressure. Can the $1.81 level hold, or will the bearish momentum open more sell entries? 

Overall, the crypto market has started the week on a low tone, coming from an eventful week that saw the likes of Shiba Inu make it to the top ten on the cryptocurrency list, while Ethereum hit an ATH of $4,434. Similarly, in the past 24 hours, MATIC/USD has shed 4.15%, but it is still up by 14.12% in weekly gains.   

MATIC/USD 4-Hour Technical Outlook 

Will MATIC/USD and DOGE/USD Rebound from the Retrace?

Looking at the 4-hour chart above, MATIC/USD is trading below the 20-moving average (red) but still above the 50-moving average (black). The pair is also above the $1.8 support. 

If the 50 moving average does not hold, then MATIC/USD will be on a bearish momentum; the potential retracement levels could be between $1.43 and $1.63.

MATIC/USD Trade Idea

Although MATIC/USD is on a retracement, I still maintain a bullish view, as long as prices remain above the 50 moving average, which is currently acting as support. However, we should only enter a buy trade at the current retracement once we have the confluence of a bullish price action signal in the daily chart. I recommend buying above the 20 moving average, which could offer additional support. 

If MATIC/USD drops below the 50 moving average, sellers will push the price downwards, with the next target at around $1.43.  

Dogecoin (DOGE/USD) Retraces to Support. Should you Buy?

Dogecoin (DOGE/USD) took a breather after hitting $0.33 resistance on October 28. The retracement came after the pair rallied almost 40% on the same day. At the time of writing, DOGE/USD was trading at $0.27, around the support level, and looking to reverse the trend to the upside.

Dogecoin and other meme tokens have been on a bull run, making massive gains for their investors. Although Shiba Inu has surpassed Dogecoin, reaching the top spot in the meme coin category, Doge seems to be fighting back. Dogecoin currently ranks in Position 10, with a market cap of $36 billion. We are keen to see how Dogecoin will fare today, after its biggest promoter, Elon Musk, tweeted about starting a University in Texas that will accept payment of tuition fees in Dogecoin.

DOGE/USD – 4-Hour Technical Outlook

Will MATIC/USD and DOGE/USD Rebound from the Retrace?

Looking at the 4-hour chart above, DOGE/USD is trading at the support level after a pullback. The meme token dropped to $0.25 on October 31, before retracing in a bullish momentum. If the current retracement attracts enough buyers, DOGE/USD could be on its way to the previous highs. However, if the reverse happens, other potential support levels are $0.23, $0.22 or $0.19. 

DOGE/USD Trade Idea

DOGE/USD has bounced off the $0.26 support level. We recommend a buy trade at the current level, as long as the support around $0.26 continues to hold. If we confirm a bullish trend, then we will set $0.31 as our immediate profit target. However, if DOGE/USD closes below the $0.26 support, it will expose more weakness to the downtrend. Happy trading!

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