🔍 Market Context:
- OP/USDT has broken below an ascending trendline, indicating a potential trend reversal from bullish to bearish.
- The price is retesting the broken trendline as resistance, a common pattern before further downside movement.
- Recent price action has been bearish, forming lower highs and lower lows.
📊 Trade Entry Criteria:
- Entry aligns with a trendline retest rejection, signaling a failed attempt to reclaim the previous uptrend.
- Bearish price action confirms sellers stepping in at this level.
- The rejection is occurring near a previous support zone, which is now acting as resistance.
🎯 Trade Targets & Risk Management
- Entry Price: Around 1.412 - 1.487 USDT
- Stop Loss (SL): Above 1.596 USDT (above previous resistance)
- Take Profit (TP): 1.084 - 1.074 USDT (previous major support zone)
- Risk-to-Reward Ratio: Favorable short setup with R:R over 1:3
🛑 Stop-Loss Placement:
- Stop-loss is positioned above 1.596 USDT, ensuring protection against a fake breakout or bullish reversal.
📉 Profit Target Justification:
- The main target is the 1.084 - 1.074 USDT range, which aligns with a strong historical support level.
- If bearish momentum continues, a potential deeper drop toward 1.000 USDT could be possible.
📌 Summary
- Bearish breakdown below key trendline
- Retest rejection confirms sellers in control
- Clear risk-reward ratio (high probability short setup)
- Targets strong historical support levels for take profit
🔻 If price reclaims 1.596 USDT, the trade setup is invalidated, suggesting potential bullish recovery. Otherwise, continued downside is expected.
- OP/USDT has broken below an ascending trendline, indicating a potential trend reversal from bullish to bearish.
- The price is retesting the broken trendline as resistance, a common pattern before further downside movement.
- Recent price action has been bearish, forming lower highs and lower lows.
📊 Trade Entry Criteria:
- Entry aligns with a trendline retest rejection, signaling a failed attempt to reclaim the previous uptrend.
- Bearish price action confirms sellers stepping in at this level.
- The rejection is occurring near a previous support zone, which is now acting as resistance.
🎯 Trade Targets & Risk Management
- Entry Price: Around 1.412 - 1.487 USDT
- Stop Loss (SL): Above 1.596 USDT (above previous resistance)
- Take Profit (TP): 1.084 - 1.074 USDT (previous major support zone)
- Risk-to-Reward Ratio: Favorable short setup with R:R over 1:3
🛑 Stop-Loss Placement:
- Stop-loss is positioned above 1.596 USDT, ensuring protection against a fake breakout or bullish reversal.
📉 Profit Target Justification:
- The main target is the 1.084 - 1.074 USDT range, which aligns with a strong historical support level.
- If bearish momentum continues, a potential deeper drop toward 1.000 USDT could be possible.
📌 Summary
- Bearish breakdown below key trendline
- Retest rejection confirms sellers in control
- Clear risk-reward ratio (high probability short setup)
- Targets strong historical support levels for take profit
🔻 If price reclaims 1.596 USDT, the trade setup is invalidated, suggesting potential bullish recovery. Otherwise, continued downside is expected.
Trade active
Trade is going well. Take partial profits here at 1.332 as we may see price come up a bit here.Trade closed: target reached
Trade closed. Can keep a portion open if you choose depending on your entry.
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.