Technical Overview:
1. Key Resistance Area:
- The price has reached a resistance zone near $2,922 - $2,917, indicated by the red arrow.
- This is a historical supply zone where sellers previously pushed the price lower.
2. Support Levels & Take Profit (TP) Zones:
- TP 1 (First Target): Around $2,891.528, marked by a green support zone.
- TP 2 (Second Target): Around $2,860.277, representing another level of expected buying interest.
- TP 3 (Third Target): Near $2,829.365, indicating a strong demand zone.
3. Pattern & Market Structure:
- The market previously formed a rising wedge, which is often a bearish signal.
- A breakdown from this pattern led to a retest of the resistance zone.
- The current move suggests a potential rejection from resistance, signaling a possible downward move.
4. Trading Bias:
- Bearish bias if rejection holds at the resistance zone.
- Confirmation would require a break below the nearest support around $2,900.
- A move above $2,922 could invalidate the bearish setup, leading to further upside.
Trade Strategy Consideration:
- Entry:Short position near resistance ($2,917 - $2,922).
- Targets: TP1 ($2,891), TP2 ($2,860), TP3 ($2,829).
- Stop-Loss: Above $2,923 to protect against breakout moves.
This analysis suggests a potential short opportunityif the price respects resistance, with downside targets at support zones. However, monitoring price action is key to confirming the move.
1. Key Resistance Area:
- The price has reached a resistance zone near $2,922 - $2,917, indicated by the red arrow.
- This is a historical supply zone where sellers previously pushed the price lower.
2. Support Levels & Take Profit (TP) Zones:
- TP 1 (First Target): Around $2,891.528, marked by a green support zone.
- TP 2 (Second Target): Around $2,860.277, representing another level of expected buying interest.
- TP 3 (Third Target): Near $2,829.365, indicating a strong demand zone.
3. Pattern & Market Structure:
- The market previously formed a rising wedge, which is often a bearish signal.
- A breakdown from this pattern led to a retest of the resistance zone.
- The current move suggests a potential rejection from resistance, signaling a possible downward move.
4. Trading Bias:
- Bearish bias if rejection holds at the resistance zone.
- Confirmation would require a break below the nearest support around $2,900.
- A move above $2,922 could invalidate the bearish setup, leading to further upside.
Trade Strategy Consideration:
- Entry:Short position near resistance ($2,917 - $2,922).
- Targets: TP1 ($2,891), TP2 ($2,860), TP3 ($2,829).
- Stop-Loss: Above $2,923 to protect against breakout moves.
This analysis suggests a potential short opportunityif the price respects resistance, with downside targets at support zones. However, monitoring price action is key to confirming the move.
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.