TON Looking to Close the Gap! This Trade Setup Takes AdvantageTON is showing great support along the ascending support line. The last three bars are confirmation bars supporting the bias that the pattern will continue. We're approaching previous highs from early 2023/2022 around $2.70, a resistance zone that stands in the way of the bullish price action.
How do we trade this?
The price currently trending upward and showing support along the ascending support line. RSI is above the moving average and there's a gap to the top of the resistance zone. But what about the resistance zone? From a trade management perspective, we have a 1:2 Risk/Reward ratio and the probability of profit on our side. It's reasonable to long here, setting a protective stop around $2.27 and a take profit around $2.70.
Key Points
1. Ascending Triangle, Long Bias.
2. Multiple Buy Signal bars on Support.
3. Gap to Previous High of $2.70, Top of Resistance Zone.
4. RSI around 55 and above the moving average, supports Long BIAS.
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