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Fantomprediction

FTM → Fantom Aims for Resistance Zone! Should We Short Here?FTM came into contact with the Daily 200EMA support after three pushes down, a pullback from the $0.57 high. The price bounced off of the 200EMA and is in now what appears to be a second leg up toward the high. Should we prepare to enter a short? How do we trade this? 🤔 We need this bull pattern to play out and give us a reversal signal before we entertain a short. I believe Bitcoin has some more time in the coming days and even weeks to potentially top out and reverse hard to the downside. That gives the altcoin market some time to either go sideways or find some momentum toward the upside. ETH is showing us that momentum now. Wait for another push or two toward the $0.57 high, wait for a double top reversal signal, then enter a short position with a stop loss placed above the Resistance Zone. An entry around $0.51 gives us enough room for a 1:2 Risk/Reward trade since the second take profit will be in the Daily 200EMA support area at $0.35. Close out the first half of your position at 1:1 Risk/Reward and move the stop loss up to the entry price, this locks in profits and allows the second half of the trade to be executed without the fear of loss. This, being a counter-trend trade in a bull market, comes with a lower probability of profit, which is why half of our position ought to be a scalp. The conditions listed must be met for this trade to work. I will also add that longing here is not recommended with the crypto market burning as hot as it is for as long as it has been. We're due for a hard pullback of at least 30-50% before we see new all-time highs for Bitcoin. I stand firm on that warning, given the distance we've traveled since the $15,000 low; the probability falls the longer we march upward. 💡 Trade Idea 💡 Short Entry: $0.51 🟥 Stop Loss: $0.59 ✅ Take Profit #1: $0.43 ✅ Take Profit #2: $0.35 ⚖️ Risk/Reward Ratio: 1:2 🔑 Key Takeaways 🔑 1. Found Support at the Daily 200EMA after a three-legged pullback from the $0.57 high 2. Two legs up in a new bull pattern 3. Looking for a third leg up followed by a double-top reversal signal 4. RSI at 57.00 and at the moving average. Room to move up before a fall. 5. Wait for these conditions to be met then aim for a 1:2 Risk/Reward short. 💰 Trading Tip 💰 It's reasonable to take half profits at the first resistance target in a long trade, or the first support target in a short trade. Using a 1:1 Risk/Reward Ratio for your first target, you can move your stop loss up to your entry price, locking in profits. This allows you to watch the rest of the trade execute without worry of losing money. This helps improve trading psychology and the equity in your account. ⚠️ 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 Follow to learn more about: 1. Reading Price Action 2. Chart Analysis 3. Trade Management 4. Trading Psychology
Short
by TraderEngineering
FTM → Is Fantom Gearing Up For a Short Scalp Opportunity? Yes.FTM broke out of its bull trend, failed to break above the Daily 30EMA and fell back down to $0.375. With Bitcoin and the rest of the crypto market following suit, are we ready to short? How do we trade this? 🤔 Since my last FTM analysis, I provided this updated chart depicting what I believed was a likely outcome of the price action. A pullback from the downward momentum to the Daily 30EMA followed by a failure to break it: FTM has begun to test the 30EMA and we have several data points that suggest a counter-trend trade is reasonable (probable); FTM has given us two legs down since breaking the bull trend, failed to break above the Daily 30EMA, RSI at 44.00 and below the moving average which gives FTM some room to fall. If you're not already in a short, then we need to wait for another confirmation before a trade is justified. What we need is a final test and failure to break the Daily 30EMA around the price area of $0.40. From there, we can short half of our position to the low of the current candle ($0.375), take profits, move our stop loss up to our entry price, and then swing the rest of the position down to the Daily 200EMA support at $0.325. Taking profits at the 200EMA is about a 1:1 Risk/Reward if our stop is placed just above the previous leg high at $0.445. That is a reasonable scalp, and the rest, being a bit lower probability of success, allows us to swing the second half of our position without the worry of losing money. We have to keep in mind that we're two legs into a micro bear trend after a three-legged bull run, this could be a two-leg trap. That's why we need confirmation below the Daily 30EMA to justify a short. 💡 Trade Idea 💡 Short Entry: $0.4175 🟥 Stop Loss: $0.4600 ✅ Take Profit #1: $0.3750 ✅ Take Profit #2: $0.3325 ⚖️ Risk/Reward Ratio: 1:2 🔑 Key Takeaways 🔑 1. Two legs down since breaking the bull trend 2. Failed to break above the Daily 30EMA 3. 9th Daily Candle Just Closed Below 30EMA 4. RSI at 44.00 and below the moving average which gives FTM some room to fall. 5. Bitcoin Showing Strong Reversal Signals, Impacts Market Sentiment. 💰 Trading Tip 💰 It's reasonable to take half profits at the first support target in a short trade, or the first resistance target in a long trade. You can then move your stop loss up to your entry price and watch the rest of the trade execute without worry of losing money. This helps improve trading psychology and the equity in your account. ⚠️ 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 Follow to learn more about: 1. Reading Price Action 2. Chart Analysis 3. Trade Management 4. Trading Psychology
Short
by TraderEngineering
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