We had a strong breakout with high volume, I will be placing a buy order at the previous resistance of 5700k sats. If we retest this area and create a higher low then my sell target will be at the next strong resistance zone (7000k sats)
If it breaks down back down below the 5700 support I will have a tight stop loss at 5500 (about 3.5% potential loss). It is likely to retrace to this level as it's well oversold on the 4H RSI, however, If it does not come back to retest the 5700 zone then I will move on and forget about the trade.
This is a nice risk to reward setup of about 6.5 to 1.
If it breaks down back down below the 5700 support I will have a tight stop loss at 5500 (about 3.5% potential loss). It is likely to retrace to this level as it's well oversold on the 4H RSI, however, If it does not come back to retest the 5700 zone then I will move on and forget about the trade.
This is a nice risk to reward setup of about 6.5 to 1.