Basic Attention Token (BAT/USD) rallied by over 50% last week and gave a long-awaited breakout. However, investors who missed the rally are now looking to enter BAT, however, entering at the correct time is crucial as an early entry could prove to be risky. It is looking like BAT will now retest the trendline after which investors are expecting a new all-time high to be made. However, is it too late to enter BAT now?
Here is what the charts are pointing to-
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BAT has formed a wedge pattern and a breakout was seen earlier this week.
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BAT gave a breakout after seven months of trading under the wedge, this is suggesting that the breakout will be strong and some huge moves could be seen soon.
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BAT was in the overbought zone on Sunday, which could have been the reason that BAT is now heading towards the trendline for a retest.
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A golden crossover was seen earlier this month, this is indicating that this could only be the start of the rally.
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Huge volumes were also seen earlier this week which is suggesting that the breakout will not fail and will be able to sustain the retest.
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A long entry can be taken once BAT reverses from the $1.443 zone, a bounce from the retest will confirm the breakout.
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A target can be set at a new all-time high, however, investors must be cautious and enter only if a clear reversal is seen.
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A stop-loss can be set at $1.28.
