The price created a double top on the daily time frame and now the market is testing the 0.786 Fibonacci level.
On the 4h timeframe, the price got a rejection from the previous daily resistance now new support on 5$.
How to approach?
If the price is going to lose the current support, 4.6$, and retest it as new resistance, we can add in our watchlist and apply our rules for opening a new short position until the next valid support on 0.886 Fibonacci level around 4$.
the scenario is invalidated if the price is going to have a breakout from the 5$ area and retest it as new support.
––––
Keep in mind.
🟣 Purple structure -> Monthly structure.
🔴 Red structure -> Weekly structure.
🔵 Blue structure -> Daily structure.
🟡 Yellow structure -> 4h structure.
On the 4h timeframe, the price got a rejection from the previous daily resistance now new support on 5$.
How to approach?
If the price is going to lose the current support, 4.6$, and retest it as new resistance, we can add in our watchlist and apply our rules for opening a new short position until the next valid support on 0.886 Fibonacci level around 4$.
the scenario is invalidated if the price is going to have a breakout from the 5$ area and retest it as new support.
––––
Keep in mind.
🟣 Purple structure -> Monthly structure.
🔴 Red structure -> Weekly structure.
🔵 Blue structure -> Daily structure.
🟡 Yellow structure -> 4h structure.
Note
The price had a false breakout from the daily resistance. If the price is going to lose the 4h support we could see a new bearish impulseNote
The price is testing the breakout as I told you! Note
The price is testing the 4h support right now. We are waiting for our rules, I need confirmations
Note
As I told you the price lost the support and retest it as new resistance.5% so far 🎯
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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.
Related publications
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.