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Cakeforecast

CAKE → Three Pushes Up! Will We Reverse to $2.84? Let's Answer.CAKE (Pancakeswap) completed its third push to the upside and rendered four Daily candles in a row with large wicks on the top. Today's close marks the fifth. Does that mean we're in for a drop? How do we trade this? 🤔 I believe a pullback here is imminent. That doesn't mean a short is justified, we are in a bull trend and our bias should remain long. However, the short-term signals like the three legs, 5 wicks on top, and a high RSI all indicate a pullback is here. It's reasonable to short this on a lower timeframe like the 1HR but on the Daily, we should be looking for a long. Wait for the price to come back down to the $2.84 area and find support. We need to see a strong buy signal and confirmation bar to justify an entry. I caveat this proposal with the state of the crypto market as a whole, it's a pivotal moment that could spell a reversal which will likely drag CAKE down with it. In summary, zoom into the 1HR timeframe to find a short, wait for a long entry opportunity at $2.84 per my description above. 💡 Trade Idea 💡 Long Entry: $2.937 🟥 Stop Loss: $2.64 ✅ Take Profit: $3.53 ⚖️ Risk/Reward Ratio: 1:2 🔑 Key Takeaways 🔑 1. Bull Channel with three pushes up, large wicks on third push. 2. Gap to Daily 30EMA. 3. Don't enter a trade here, need more price action. 4. RSI at 75.00 and above Moving Average. Supports Pullback. 5. Crypto Market at Pivotal Moment, Consider Reversal Possibility. 💰 Trading Tip 💰 You can trade any candle on the chart, the question is what trades are more worth your while and fit with your personality traits. First, understand how to analyze a chart, then understand yourself and how you best interact with your analysis such that you make money. ⚠️ Risk Warning! ⚠️ Past performance is not necessarily indicative of future results. You are solely responsible for your trades. Trade at your own risk! Like 👍 and comment if you found this analysis useful!
BINANCE:CAKEUSDLong
by TraderEngineering
CAKE → Strong Support at $2.14! Nearing Resistance and Drop?CAKE had a fantastic bounce off of the $2.14 support area and ripped to $2.92! We're close to the next resistance area of $3.135, what does that mean for our trade opportunities? How do we trade this? 🤔 We're too close to major resistance to long on this timeframe (or any timeframe for that matter), we need to wait for either a break of that resistance level, or a break downward and rested the previous high price of $2.84. For this short setup to work, we need a strong sell response around the $3.135 area, breaking the price downward back into the $2.65 range. The price should either go sideways or re-test the previous high of 2.84 and fail. That failure will be depicted by a strong bear candle closing on or near its low. This will be our justification to enter a short position. Take profits before we get near the Support Zone at a 1:2 Risk/Reward Ratio, around the $2.29 area with our protective stop above the previous high price around $2.90. Wait for this pattern to play out, it's never wise to enter before we have sufficient evidence. That evidence gives us a higher probability that the price will behave in the way our analyses show us. Anything else is gambling! 💡 Trade Ideas 💡 Short Entry: $2.71 🟥 Stop Loss: $2.92 ✅ Take Profit: $2.29 ⚖️ Risk/Reward Ratio: 1:2 🔑 Key Takeaways 🔑 1. Established Strong Support at $2.14 Area, Bias to Long. 2. Look for Resistance at $3.135 3. Look for Reversal Trade Short, Strong Sell and Confirmation Candle. 4. Do not Long Here, Close to Support. 5. RSI at 70.00, above Moving Average. Supports Upcoming Resistance. 💰 Trading Tip 💰 Probability on the chart changes with every candle. The goal of an analysis is to illuminate the current trends, patterns, and candlestick behavior to determine the probability that the next candles will continue the trend. We can then draw trade ideas and determine good entries, followed by proper trade management if the chart doesn't pan out according to our analysis. ⚠️ Risk Warning! ⚠️ Past performance is not necessarily indicative of future results. You are solely responsible for your trades. Trade at your own risk! Like 👍 and comment if you found this analysis useful!
BINANCE:CAKEUSDShort
by TraderEngineering
CAKE → PancakeSwap Bull Breakout! What are the Price Targets?PancakeSwap executed a beautiful bull run and pullback, forming an arched pattern toward the 200EMA where we bounced and broke out! The price is in meander mode toward the upside on new support. How do we trade this? 🤔 We do not have any signal candles or patterns to suggest the next move, any trade here carries a low probability of profit. If we long, our protective stop should be under the 200EMA which is a fair distance away. If we short, we have the 200EMA acting as potential support and where do we place our stop loss? The proper place is above the previous high of over $2.84, which is a bad Risk/Reward ratio. We should wait until the price falls to the 200EMA and the RSI comes down closer to 40.00 and starts to cross above the Moving Average. This tightens our stop loss and gives us enough room to 1:2 Risk/Reward our trade. Until then, let's see how the price action plays out. FOMO (Fear of Missing Out) is your worst enemy. This is where you enter the market prematurely, worried that you'll miss potential profits but instead, you end up in a bad trade. I find combating FOMO is best conceptualized as " You're making more money by not falling for the seduction of market profit ." 💡 Trade Idea 💡 Long Entry: $2.3037 🟥 Stop Loss: $2.1860 ✅ Take Profit: $2.5395 ⚖️ Risk/Reward Ratio: 1:2 🔑 Key Takeaways 🔑 1. Bull Trend Consolidating Pattern Complete. Bull Breakout. 2. Established New Support, Currently in Uptrend. 3. Wait for Pullback to 200EMA to consider long. 4. Do Not Long until we see Strong Bull Support after Pullback. 5. RSI at 53.00, below Moving Average. Supports Short. ⚠️ Risk Warning! ⚠️ Past performance is not necessarily indicative of future results. You are solely responsible for your trades. Trade at your own risk! Like 👍 and comment if you found this analysis useful!
BINANCE:CAKEUSDLong
by TraderEngineering