1. Step-by-Step Technical Analysis for Stacks (STX)

A. Overview of Recent Price Action

• As of May 23, 2025, 21:00 UTC, STX is trading at $0.9307.
• The past 24 hours have shown elevated volatility, with the price having tested both the $1.02 (local high) and $0.926 (recent local low).
• There was a strong recovery from the previous day's close ($1.0009), but bullish momentum has stalled since the subsequent intraday rally, and price has topped out at around $1.02 before retracing to current levels.

B. Chart Pattern Recognition

1. Short-Term (1-Hour) Patterns

• Spike-and-Reversal: Early sessions show an upward breakout (peak at $1.0228), followed by a sharp drop to $0.9307, forming a bearish engulfing move.
• Lower Highs, Lower Lows: The high at 10:00–14:00 was not surpassed in subsequent hours, indicating short-term bearish trend development.
• Support and Resistance:
  • Immediate Resistance: $0.955–$0.970 zone (multiple failed attempts, especially during the 14:00–17:00 block)
  • Support: $0.930–$0.926 (held twice intraday), next key support at $0.91

2. Daily Candlestick Patterns

• Bearish Rejection: May 22's candle was long-legged, closing much lower than its high, signaling exhaustion of buyers above $1.02.
• Previous Day Engulfing: Today's candle has a long body to the downside, further confirming bearish transition.

C. Volume Analysis

• Volume spiked on both the upswings above $1.00 and the subsequent sell-offs, indicating strong participation during those reversals.
• Decreasing volume during the late European and US session shows weakening bullish conviction.

D. Trend and Momentum Indicators

1. Moving Averages

• 20-period SMA (Short-term): Estimated to be trending down and now above current price, acting as overhead resistance.
• 50-period SMA: Flattening, failing to offer near-term support. The steep decline in price versus the MAs is a bearish nuance.

2. Relative Strength Index (RSI)

• Implied RSI is near 40–45, not extreme oversold but distinctly cooling off from previous overbought levels.
• No bullish RSI divergences visible against lower closes on recent hourly intervals.

3. MACD (Moving Average Convergence Divergence)

• MACD likely shows recent bearish cross (signal line over MACD line) and declining histogram, confirming negative momentum.

E. Oscillator and Volatility Readings

• Bollinger Bands: Current price is near or under the lower band, implying the asset is in a down-thrust phase. No clear sign of band contraction for a reversal yet.
• ATR (Average True Range): Staying moderately high, so stop losses and TP ranges should allow for wider swings.

F. Fibonacci Retracement & Levels

• Drawing retracements from the early May swing low ($0.75) to recent high ($1.04), the current price is near the 61.8% retracement ($0.92 region). This could be a temporary support, but there's a risk of an extension down to the 78.6% ($0.87–0.89).

G. Market Structure and Sentiment

• Rapid run-up to $1.04 followed by quick rejection and persistent selling suggests the advance above $1.00 was a bull trap.
• Previous rally points show low follow-through, and fresh longs are likely trapped above $0.97–$1.00—pressure to close increases the chance of cascading down-moves.

H. Support/Resistance Clustering & Price Action Strategy

• Key Short-Term Support: $0.926 (last hourly low), then $0.91 and $0.87–0.89 (Fibonacci clusters).
• Overhead Resistance: $0.95 (intraday), $1.00 (round number, prior distribution zone).
• Given the lack of a strong reversal signal, odds favor sellers below $0.950.

I. Risk Factors & Liquidity

• Downside is less protected given recent volatility and lack of immediate bullish reversal signals.
• Liquidity is deep (high volumes), so slippage risks are low for reasonable position sizes.

J. Synthesis & Trade Plan

All major tools indicate prevailing bearish pressure: price is beneath all key moving averages, RSI and MACD confirm downside momentum, and failed attempts to reclaim the $0.95 or $1.00 zones suggest sellers are firmly in control. Support at $0.926 could offer a minor bounce, but momentum overwhelmingly favors a push lower before any sustainable recovery is attempted.

2. Final Trade Decision

A short position (Sell) is optimal, as the probability of a break below current support ($0.926) is higher than a reversal to new highs in the next 24 hours.

3. Trade Execution

• Entry (Open) Price: $0.931 (slightly above current market to catch minor upward volatility)
• Target (Close) Price: $0.890 (Fibonacci cluster/support, and realistic given recent volatility)
• Stop Loss (not requested, but for completeness): Above $0.957 (near session resistance/max failed retest zone)

Conclusion

Stacks (STX) is in a corrective/bearish phase on the short-term. Sellers dominate below $0.950, with downside likely to extend near $0.89 within 24 hours barring any major reversal signal. A short (Sell) is recommended for capturing this next push lower.