🔍 Market Context:
- XRP/USD is trading within a rising channel, but recent price action shows signs of weakness near the upper resistance level.
- A breakdown from a smaller ascending trendline suggests that bearish momentum is building.
- The price is testing a key horizontal resistance zone while struggling to break higher.
📊 Trade Entry Criteria:
- Entry is positioned at the rejection of the upper channel resistance.
- The price has broken a minor trendline, indicating a potential shift in momentum.
- A lower high structure is forming, which may confirm a bearish reversal.
🎯 Trade Targets & Risk Management
- Entry Price: Around 3.018 - 3.132 USD
- Stop Loss (SL): Above 3.291 USD (above the recent highs)
- Take Profit (TP): 2.104 - 2.070 USD (previous strong support)
- Risk-to-Reward Ratio: Favourable short setup with R:R over 1:3
🛑 Stop-Loss Placement:
- Stop-loss is placed above 3.291 USD to protect against a potential breakout continuation.
📉 Profit Target Justification:
- The main target is the 2.104 - 2.070 USD range, aligning with a key horizontal support level.
- If price breaks lower, further downside toward 1.900 USD could be possible.
📌 Summary
- Price is rejecting key resistance inside an ascending channel.
- Lower high formation signals potential bearish continuation.
- Clear risk-reward ratio makes it a high-probability short setup.
- Targeting strong historical support levels for take profit.
🔻 If price reclaims 3.291 USD, the trade setup is invalidated. Otherwise, continued downside is expected.
- XRP/USD is trading within a rising channel, but recent price action shows signs of weakness near the upper resistance level.
- A breakdown from a smaller ascending trendline suggests that bearish momentum is building.
- The price is testing a key horizontal resistance zone while struggling to break higher.
📊 Trade Entry Criteria:
- Entry is positioned at the rejection of the upper channel resistance.
- The price has broken a minor trendline, indicating a potential shift in momentum.
- A lower high structure is forming, which may confirm a bearish reversal.
🎯 Trade Targets & Risk Management
- Entry Price: Around 3.018 - 3.132 USD
- Stop Loss (SL): Above 3.291 USD (above the recent highs)
- Take Profit (TP): 2.104 - 2.070 USD (previous strong support)
- Risk-to-Reward Ratio: Favourable short setup with R:R over 1:3
🛑 Stop-Loss Placement:
- Stop-loss is placed above 3.291 USD to protect against a potential breakout continuation.
📉 Profit Target Justification:
- The main target is the 2.104 - 2.070 USD range, aligning with a key horizontal support level.
- If price breaks lower, further downside toward 1.900 USD could be possible.
📌 Summary
- Price is rejecting key resistance inside an ascending channel.
- Lower high formation signals potential bearish continuation.
- Clear risk-reward ratio makes it a high-probability short setup.
- Targeting strong historical support levels for take profit.
🔻 If price reclaims 3.291 USD, the trade setup is invalidated. Otherwise, continued downside is expected.
Trade active
Trade is going well. Take partial profits here at 2.845 as we may see price come up a bit here.Trade closed: target reached
Trade closed. Can keep a portion open if you choose depending on your entry. Pull up is a potential. We can look for another short soon.
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.
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.