AAVEUSDT Waiting for sell signals. Setting up.Stay patient. If strong high breaks -> This prediction does not work. It only works if we get sell signal from Cipher B and we will change of direction. Patience!
📈 Smart Money Concept - Strong High Zone:
The "smart money" concept refers to the large institutional traders and sophisticated investors who often possess significant market influence. Identifying a strong high zone involves recognizing a price level where these influential market participants are actively buying or selling. In this context, a strong high zone typically signifies a level where institutional players are selling, suggesting a potential change in market direction.
💼📉 Institutional Presence:
Smart money traders often leave their footprint at key levels. A strong high zone is indicative of a region where institutional selling pressure is concentrated, suggesting a collective decision to exit or take profits.
🔄📉 Change in Direction:
When a strong high zone is identified, it serves as a potential signal for a change in market direction. It implies that the dominant trend might be losing momentum, and a reversal or correction could be on the horizon.
📉 Cipher B Divergence - Sell Signal:
Cipher B is a technical analysis pattern, and divergence refers to a situation where the price moves in the opposite direction of a technical indicator. In this case, a Cipher B divergence sell signal occurs when the price is making higher highs, but the indicator, such as the RSI or MACD, is making lower highs.
🔍📈 Identifying Divergence:
Divergence is a powerful tool for spotting potential trend reversals. In the context of Cipher B, a sell signal suggests that, despite rising prices, the underlying momentum or strength is decreasing, indicating a weakening bullish trend.
⚠️ Combining Signals:
The combination of a strong high zone and a Cipher B divergence sell signal strengthens the overall bearish case. It implies that not only are institutional traders selling at a notable level, but there is also a divergence between price action and underlying momentum, signaling potential weakness in the current uptrend.
📊💡 Trading Strategy:
Traders may consider implementing a sell strategy or adjusting their positions when both the strong high zone and Cipher B divergence sell signal align.