Usman Salis
A fresh TD Sequential "9" has popped up on Stellar (XLM) daily chart, and it's got traders wondering if the recent sell-off is finally running out of gas. The signal showed up right when the price action started looking less bearish, sparking talk that we might be sitting at a local bottom. This TD indicator has called major turning points for XLM before, so people are watching closely to see if history repeats itself.
Chart Analysis: Stabilization Appears After Heavy Selling
According to trader Ali, looking at the chart, there's been a pretty clear downtrend over the past several days, with XLM sliding from around $0.29 and making lower highs along the way. Things got particularly rough on November 3 when a big red candle pushed price below the $0.275 support level that had been holding.
But here's where it gets interesting: right after that breakdown, the candle behavior started changing. That long lower wick on the recent candle? That's buyers stepping in to defend the $0.258–$0.262 range. The current white candle shows some early stabilization happening, though it's not a confirmed reversal yet, just the first hint that buyers are showing up. And sitting right above this candle is that red TD "9," marking what the Sequential model sees as trend exhaustion.
These pieces fit together with the idea that we're potentially seeing a local bottom form. Important to note: there's no breakout or surge happening here, just a pause in the selling pressure, which is exactly what early bottoming action typically looks like.
Key Technical Levels
The chart highlights several important zones worth watching. Primary support sits at $0.258–$0.262, where those long wicks show active buying interest. Just above, immediate resistance lives around $0.278–$0.283, a zone where price got stuck several days back. Further up, there's upper resistance at $0.295, which got rejected during the earlier decline. A daily close above $0.283 would break the pattern of lower highs and give more weight to the reversal scenario.
Why This TD Signal Matters Now
Altcoin sentiment has been pretty rough lately, with many assets getting hammered as money rotates between the bigger movers. Stellar hasn't had any major fundamental news to support it recently, so it just followed the broader risk-off trend with a textbook technical downtrend.
TD Sequential signals tend to carry more weight during these washed-out periods. When they appear alongside exhaustion wicks like we're seeing on the latest candle, they often come before short-term bounces or at least some temporary relief from the selling.
Usman Salis
