### Analysis and Trade Setup:
1. **Major Trend Analysis (1D Chart):**
- **Direction:** The major trend in the 1D chart appears to be sideways, with potential bearish pressure as the price is struggling to break above previous highs. It’s currently oscillating within a range.
- **Key Levels:**
- Resistance around the 60,000 - 61,000 USD level.
- Support near 55,000 USD.
2. **1H Chart Fractals & Confluence Points:**
- **Current Levels:** The 1H chart shows price action close to the 59,000 level, with potential support and resistance levels near 58,000 and 60,000 respectively.
- **Confluence Point:** The 59,000 - 59,200 zone could be a critical confluence area due to its proximity to both short-term support and resistance, along with fractal formations.
### Trade Idea:
**Trade Direction:** Given the mixed signals, let’s focus on a potential short trade (selling) if the price fails to break above 59,500, which is a critical level of resistance.
**Entry:**
- **Sell Limit Order:** Set a sell limit order at **59,400 USD**. This level is just below the recent resistance and provides a safer entry in the direction of the possible continuation of the bearish trend.
- **Reason:** This level is a point of confluence, being a resistance level observed in both the 1H and 1D charts.
**Stop Loss:**
- **Stop Loss Level:** Set your stop loss at **59,750 USD**. This is just above the recent highs, minimizing your
**Take Profit:**
- **Target Level:** Aim for a take profit at **58,000 USD**.
- **Reason:** This level is near a significant support level, providing a reward-risk ratio of more than 1.5 (a 1400 pip gain vs a 350 pip risk).
**Trailing Stop Loss Adjustment:**
- **First Adjustment:** If the price moves in your favor by 400 pips (reaches 59,000 USD), move your stop loss to breakeven (59,400 USD).
- **Second Adjustment:** If the price moves to 58,600 USD, trail your stop loss down to 59,000 USD.
- **Final Adjustment:** As the price approaches 58,200 USD, move your stop loss to 58,600 USD to lock in more profits.
**Probability and Confidence:**
- This trade idea has a higher probability of success if the price respects the 59,500 resistance level and the current sideways to bearish trend continues. However, since we are working with a short-term setup in a somewhat ranging market, ensure that the setup remains valid before execution.
1. **Major Trend Analysis (1D Chart):**
- **Direction:** The major trend in the 1D chart appears to be sideways, with potential bearish pressure as the price is struggling to break above previous highs. It’s currently oscillating within a range.
- **Key Levels:**
- Resistance around the 60,000 - 61,000 USD level.
- Support near 55,000 USD.
2. **1H Chart Fractals & Confluence Points:**
- **Current Levels:** The 1H chart shows price action close to the 59,000 level, with potential support and resistance levels near 58,000 and 60,000 respectively.
- **Confluence Point:** The 59,000 - 59,200 zone could be a critical confluence area due to its proximity to both short-term support and resistance, along with fractal formations.
### Trade Idea:
**Trade Direction:** Given the mixed signals, let’s focus on a potential short trade (selling) if the price fails to break above 59,500, which is a critical level of resistance.
**Entry:**
- **Sell Limit Order:** Set a sell limit order at **59,400 USD**. This level is just below the recent resistance and provides a safer entry in the direction of the possible continuation of the bearish trend.
- **Reason:** This level is a point of confluence, being a resistance level observed in both the 1H and 1D charts.
**Stop Loss:**
- **Stop Loss Level:** Set your stop loss at **59,750 USD**. This is just above the recent highs, minimizing your
**Take Profit:**
- **Target Level:** Aim for a take profit at **58,000 USD**.
- **Reason:** This level is near a significant support level, providing a reward-risk ratio of more than 1.5 (a 1400 pip gain vs a 350 pip risk).
**Trailing Stop Loss Adjustment:**
- **First Adjustment:** If the price moves in your favor by 400 pips (reaches 59,000 USD), move your stop loss to breakeven (59,400 USD).
- **Second Adjustment:** If the price moves to 58,600 USD, trail your stop loss down to 59,000 USD.
- **Final Adjustment:** As the price approaches 58,200 USD, move your stop loss to 58,600 USD to lock in more profits.
**Probability and Confidence:**
- This trade idea has a higher probability of success if the price respects the 59,500 resistance level and the current sideways to bearish trend continues. However, since we are working with a short-term setup in a somewhat ranging market, ensure that the setup remains valid before execution.
Note
Stop Loss hit. Trade is closed at the BE point at $59400 as mentioned in our plan.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.