Kint/USD - Too much reward to look away

4 thg 12

TLDR: Re-enter if SL is triggered by a scam wick, provided the ascending triangle remains valid. For lower risk, wait for breakout confirmation.

1. KINT/USD – 4hr
2. RR (Risk to Reward) 10.5:1
   
3. SL (Stop Loss) $0.63
   
4. TP (Target Point) $1.20+
   

Key Takeaways for New Traders:

Understand the Ascending Triangle

• The ascending triangle is a bullish continuation pattern. Ensure you recognize the increasing demand through higher lows and resistance at the horizontal line.
  
• Confirmation of the breakout comes with high volume. If volume is low, the breakout could be false.
  

Manage Your Risk Effectively

• Position Sizing: Always calculate the appropriate position size for your trade based on your stop-loss distance and risk tolerance (ex., 1-2% of your account balance per trade if day trader 5-10% for swing and much larger for Investor and Holders).
  
• Adjust Stop-Loss After Breakout: If the price breaks out and starts trending towards the target, consider moving the stop loss to breakeven or a trailing stop.
  

Beware of Fake Breakouts

• Ascending triangles can fail. Watch for false breakouts (scam wicks) and monitor closely to ensure the structure remains valid.
  
• Use confirmation candles (4hr candle closing above the resistance) to validate the breakout.
  

Volume Analysis

• For breakouts, increased volume is critical to validate the move. If volume doesn’t spike, exercise caution as the breakout might not sustain.
  

Diversify Entry Options

• Aggressive Entry: Enter within the pattern based on the risk/reward setup, as you’re doing.
  
• Conservative Entry: Wait for a confirmed breakout and retest of the resistance as support.
  

Psychology of Re-Entry

• If the stop-loss is triggered by a scam wick but the structure is intact, re-enter without hesitation. Confidence in your analysis is crucial.
  

Monitor Market Sentiment

• Keep an eye on the overall crypto market trend. If Bitcoin is showing extreme volatility, altcoins like KINT/USD might follow suit. Adapt your plan accordingly.
  

Document Your Trade

• se a trading journal to document your setup, entry, exit, and thoughts during the trade. This helps identify patterns in your decision-making and improve over time.
  

Add Indicators for Extra Confirmation:

• Relative Strength Index (RSI): Watch for divergences to confirm the strength of the breakout.
  
• Moving Averages: Use a short-term moving average (ex., 20 or 21 EMA) to confirm price staying above support during the triangle formation.
  
• Volume Profile or OBV (On-Balance Volume): Check if buying pressure aligns with the breakout direction.
  

Safe trading and always follow your strategy no matter what!