DASHUSDT is currently in a downtrend, characterized by lower highs and lower lows on the 1-hour (1H) timeframe. However, there is a bullish divergence observed on the same timeframe, suggesting a potential reversal in trend.
Here's a summary of the technical analysis along with a suggested trading approach:
Entry: Consider initiating a long position once the price breaks above the lower high, placing a buy-stop order at the level of the lower high, which is at $27.30.
Stop Loss (SL): Place the stop loss order at $26.15 to manage risk in case the anticipated reversal does not materialize.
Take Profit (TP): Set take-profit levels to secure profits at key levels:
TP1: Set the first take-profit level at $28.45 to achieve a 1:1 risk-reward ratio.
TP2: Aim for the second take-profit level at $29.60 to achieve a 1:2 risk-reward ratio.
Breakeven: After reaching the first take-profit level, adjust the stop loss to the entry price to lock in profits and eliminate the risk of loss.
This trading strategy anticipates a bullish reversal once the price breaks above the lower high, supported by the bullish divergence observed on the 1H timeframe. However, it's essential to closely monitor the price action and adjust the strategy accordingly to adapt to changing market conditions.
Here's a summary of the technical analysis along with a suggested trading approach:
Entry: Consider initiating a long position once the price breaks above the lower high, placing a buy-stop order at the level of the lower high, which is at $27.30.
Stop Loss (SL): Place the stop loss order at $26.15 to manage risk in case the anticipated reversal does not materialize.
Take Profit (TP): Set take-profit levels to secure profits at key levels:
TP1: Set the first take-profit level at $28.45 to achieve a 1:1 risk-reward ratio.
TP2: Aim for the second take-profit level at $29.60 to achieve a 1:2 risk-reward ratio.
Breakeven: After reaching the first take-profit level, adjust the stop loss to the entry price to lock in profits and eliminate the risk of loss.
This trading strategy anticipates a bullish reversal once the price breaks above the lower high, supported by the bullish divergence observed on the 1H timeframe. However, it's essential to closely monitor the price action and adjust the strategy accordingly to adapt to changing market conditions.