XBT / USD (short idea afrer recent cup n handle breakout of 4XXX
This chart is posted after recent breakout as i had originally planed to short it before the breakout and was going to enter a trade when i got home, but too much time has passsed and the trade has moved beyond the current trading range.
Nonetheless i want to show what i was planning to do on the short side of the trade pre breakout.
1. Price hit local resistance at 4042
2. second and third volume candles post spike had significant bearish voume suggesting failed breakout
3,. placed short with tight stop loss @ 4150
4. Target of trade was just above next local support @ 3932
5. Trade entered @ 4021 (short)
6. Expecting price to hit local resistance of around 3929 due to cup formation was expecting a handle pullback to said price range before next price rise
7. When price hit local support i was goign to cash in my shorts and swap for longs with another tight stop loss based on technical analysis
8. R/R 1.45
9. price dropped to a min of 3960 meaning a max gain of 1.47% if you covered your short at 3960 from 4021
Nonetheless i want to show what i was planning to do on the short side of the trade pre breakout.
1. Price hit local resistance at 4042
2. second and third volume candles post spike had significant bearish voume suggesting failed breakout
3,. placed short with tight stop loss @ 4150
4. Target of trade was just above next local support @ 3932
5. Trade entered @ 4021 (short)
6. Expecting price to hit local resistance of around 3929 due to cup formation was expecting a handle pullback to said price range before next price rise
7. When price hit local support i was goign to cash in my shorts and swap for longs with another tight stop loss based on technical analysis
8. R/R 1.45
9. price dropped to a min of 3960 meaning a max gain of 1.47% if you covered your short at 3960 from 4021