🕵️♂️ Market Structure Analysis
The price was in a strong uptrend, forming higher highs and higher lows.
A key resistance zone was identified around 194.65 - 194.78, where price previously reacted.
The price tested this resistance multiple times but failed to break above it, showing exhaustion.
📌 Trade Entry Confirmation
✅ Resistance Rejection – Price reached the 194.65 - 194.78 resistance zone and struggled to break above it.
✅ Breakout Confirmation – The price started forming lower highs and showed bearish rejection wicks.
✅ Liquidity Grab – A small fakeout above resistance before reversing, trapping buyers.
✅ Bearish Candlestick Formation – Price formed a strong bearish candle rejection, confirming a possible reversal.
📉 Trade Execution
🔹 Sell Entry: After price rejected the resistance zone and showed bearish momentum.
🔹 Stop-Loss (SL): Above 194.78 (previous high & resistance zone).
🔹 Take-Profit (TP): 192.18 (previous support & liquidity area).
🔹 Risk-to-Reward (RR): 1:3 or better, maintaining proper trade management.
📊 Risk Management & Trade Plan
Partial Take-Profit at 1:5 RR, letting the rest run to full TP.
Trailing Stop to secure profits if price moves in favor.
Exit strategy if price shows bullish reversal signs before TP
The price was in a strong uptrend, forming higher highs and higher lows.
A key resistance zone was identified around 194.65 - 194.78, where price previously reacted.
The price tested this resistance multiple times but failed to break above it, showing exhaustion.
📌 Trade Entry Confirmation
✅ Resistance Rejection – Price reached the 194.65 - 194.78 resistance zone and struggled to break above it.
✅ Breakout Confirmation – The price started forming lower highs and showed bearish rejection wicks.
✅ Liquidity Grab – A small fakeout above resistance before reversing, trapping buyers.
✅ Bearish Candlestick Formation – Price formed a strong bearish candle rejection, confirming a possible reversal.
📉 Trade Execution
🔹 Sell Entry: After price rejected the resistance zone and showed bearish momentum.
🔹 Stop-Loss (SL): Above 194.78 (previous high & resistance zone).
🔹 Take-Profit (TP): 192.18 (previous support & liquidity area).
🔹 Risk-to-Reward (RR): 1:3 or better, maintaining proper trade management.
📊 Risk Management & Trade Plan
Partial Take-Profit at 1:5 RR, letting the rest run to full TP.
Trailing Stop to secure profits if price moves in favor.
Exit strategy if price shows bullish reversal signs before TP
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.