Last time we looked at Fred's $FRED, we predicted that the rally would be challenged around $3.50, a previous resistance. Freds (FRED) Approaching Key Resistance around $3.50FRED Daily chart(click to enlarge)Key Resistance:- Looking at the daily chart, we can see that FRED was in a bearish trend coming into 2018.- Price action flattened, and has now climbed up above the 200-day simple moving average (SMA), along with the 100-day and 50-day SMAs. - The RSI has pushed above 70 and then subsequently held above 40.- These are bullish signs.- However, price action has only show evidence that the market shifted from bearish to sideways, NOT bullish yet. The resistance at $3.50 keeps the assessment from becoming bullish. - However, if price is able to hold above $2.50, and go back up towards $3.50 again, I would anticipate a break higher.- A hold above $2.50 will confirm again that price is respecting the cluster of SMAs as support, and strengthen the bullish outlook.- A break below $2.25 on the other hand means the market is still neutral-bearish, with a stronger potentially of breaking lower than higher.