AAVE Breakdown Could Trigger Major DropYello Paradisers — did you spot the bearish setup forming on AAVEUSDT? If not, you might already be a step behind, but there’s still a high-risk-reward opportunity on the table — if you approach it with discipline.
💎Currently, AAVEUSDT is looking increasingly bearish. The asset has confirmed a bearish Change of Character (CHoCH), broken down from a rising wedge pattern, and is showing clear bearish divergence on the chart. These combined signals suggest that the probability of further downside is increasing.
💎From here, there are two main scenarios we’re monitoring. First, AAVE could attempt a pullback to fill the Fair Value Gap (FVG) above, which would offer a clean short-entry zone with strong risk-reward potential. Alternatively, price could reject directly from the nearby Bearish Order Block (OB), offering another chance for well-structured entries. Both setups depend on confirmation and timing, so patience is key.
💎However, if AAVE breaks and closes decisively above the current resistance zone, the bearish thesis becomes invalid. In that case, the best move is to wait on the sidelines and allow new, higher-quality price action to form before re-engaging.
💎This market demands patience and discipline. You don’t need to catch every move — just the right ones. Stay sharp, stay focused, and let the market come to you.
Strive for consistency, not quick profits. Treat the market as a businessman, not as a gambler.
MyCryptoParadise
iFeel the success🌴
M-oscillator
Bank of America Wave Analysis – 1 July 2025
- Bank of America reached resistance level 48.00
- Likely to fall to support level 46.00
Bank of America recently reached the powerful multi-month resistance level 48.00, which has been reversing the price from last November.
The resistance zone near the resistance level 48.00 is strengthened by the upper daily Bollinger Band.
Given the strength of the resistance level 48.00 and the overbought daily Stochastic, Bank of America can be expected to fall to the next support level 46.00.
Better MACDWhat is the MACD?
The MACD (Moving Average Convergence Divergence) is a momentum and trend-following indicator. It’s based on the difference between two EMAs (Exponential Moving Averages) and helps spot:
Trend direction
Momentum shifts
Reversals
Entry/exit points
✅ Basic MACD Techniques
1. Signal Line Crossovers
Bullish Crossover: MACD line crosses above Signal → buy signal
Bearish Crossover: MACD line crosses below Signal → sell signal
🔸 Works best in trending environments, 200 SMA as a filter.
🔸 Combine with volume or trend filters for best results
2. Zero Line Crossovers
When MACD crosses above 0, the shorter EMA is above the longer EMA → bullish. This is typically the sign of a larger trend than crossovers.
When MACD crosses below 0, shorter EMA is below → bearish
🔸 Zero line = baseline momentum direction
🔸 Cross above = bullish trend confirmation
🔸 Cross below = bearish confirmation
3. Histogram Momentum
The histogram is often the first sign of a shift before a crossover happens.
Read it like this:
Histogram growing: Increasing momentum in that direction
Histogram shrinking: Momentum is fading
Histogram changing color (in many indicators): Potential reversal
🔸 Use histograms to get early signals, even before crossovers. Confirmed with volume surge and Price Action.
🔍 Advanced MACD Tricks
📉 4. Divergence Detection
Divergence occurs when price and MACD move in opposite directions.
🔸 Bullish Divergence:
Price makes lower lows
MACD makes higher lows
→ Hidden buying pressure, trend reversal likely
🔸 Bearish Divergence:
Price makes higher highs
MACD makes lower highs
→ Trend weakening, reversal likely
🔹 Confirm with:
RSI, when the lower timeframe RSI is oversold and the higher timeframe MACD is rising, then it's a good sign, and the opposite is true for bears.
Support/resistance zone: draw trendlines either on the volume or price and watch out for retests on the breakout.
Candlestick reversal patterns: some bearish patterns are bullish on indexes because of dollar cost averaging.
KHC | Reversal Breakout in Motion – Triggered with Target $31📍 Ticker: NASDAQ:KHC (The Kraft Heinz Company)
📆 Timeframe: 1D (Daily)
📉 Price: $26.61
📈 Pattern: Falling wedge breakout + horizontal support reclaim
📊 Breakout Probability: ~68% upward
🔍 Technical Setup:
KHC has just broken above a descending wedge, paired with a clear reclaim of horizontal structure (~$26.00). Volume surged on the breakout candle, confirming participation.
✅ Falling wedge → bullish breakout confirmed
📈 RSI crossed 50 with strong upside momentum
📉 Prior resistance at $28.45 and $30.70 now set as key swing targets
🧠 Trade Plan:
📥 Entry Zone: $26.40–$26.70 (confirmed breakout)
⛔ Stop-Loss: Below $24.80 (beneath last major support & wedge base)
📐 Pattern Breakout Probability: ~68% bullish
🎯 Upside Targets & ROIC (from $26.61):
Target Price Return
🎯 Target 1 $28.48 +7.04%
🎯 Target 2 $30.70 +15.4%
⚠️ Key Observations:
Classic falling wedge structure → statistically strong setup
High-volume breakout = institutional confirmation
RSI breakout supports momentum
Risk is tightly defined, reward is clearly measurable
💬 KHC is triggering a textbook breakout from a falling wedge pattern with strong volume confirmation.
Backed by historical performance metrics, this setup carries a 68% probability of success.
#KHC #BreakoutSetup #FallingWedge #TechnicalAnalysis #BulkowskiPatterns #TargetTraders
HELE | Historic Support Reclaim – Falling Wedge Breakout +113% 📍 Ticker: NASDAQ:HELE (Helen of Troy Ltd.)
📆 Timeframe: 1W (Weekly)
📉 Price: $28.10
📈 Pattern: Falling wedge + long-term horizontal support
🔍 Technical Setup:
NASDAQ:HELE is rebounding from a major horizontal support zone that's been in place since 1998, and just broke above a multi-year falling wedge. This marks the start of what could be a powerful bullish reversal.
🔻 Breakdown structure from 2022 now being tested from below
🟡 Long-term horizontal support: ~$26.00–27.00
📈 Breakout potential with plenty of headroom into prior supply zones
🧠 Trade Plan & Return on Invested Capital (ROIC):
📥 Entry Zone: $27.50–$28.50
⛔ Stop-Loss: Weekly close below $25.00 (structure invalidation)
🎯 Target 1: $47.99
→ 🔼 ROIC: +70.8%
🎯 Target 2: $60.06
→ 🔼 ROIC: +113.8%
⚠️ Key Observations:
Large-volume bottoming zone, breakout confirmed above falling trendline
Price targets align with key prior support → resistance flip zones
Multi-year trend reversal possible if price sustains above $31–32
Strong candidate for mid/long-term swing trades or LEAP call positioning
💬 Will Helen of Troy return to its former strength with a clean wedge breakout?
Add HELE to your watchlist for 2025–2026 recovery potential.
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Navigating the ETH Volume Wall as Capital Rotates to High-Beta
In the intricate and often volatile theater of the cryptocurrency markets, Ethereum (ETH) currently finds itself in a moment of profound tension. As the undisputed king of smart contracts and the foundational layer for decentralized finance (DeFi), its price action sends ripples across the entire digital asset ecosystem. The current outlook presents a fascinating dichotomy: on one hand, Ethereum is staring down a formidable "volume wall," a dense zone of historical trading activity that acts as a powerful barrier to upward momentum. On the other hand, the tantalizing prospect of a decisive breakout above the key $2,900 level beckons, promising a new leg up for the bull market.
This standoff has created a fertile ground for a classic market phenomenon: capital rotation. As Ethereum grinds sideways, battling for every percentage point against heavy resistance, impatient capital is beginning to flow into more nimble, higher-risk assets within its orbit. Traders and investors are increasingly eyeing "cheap crypto"—smaller, more volatile altcoins built on or related to the Ethereum network. These "ETH beta" plays are rallying in anticipation of an eventual Ethereum breakout, offering the potential for outsized returns.
This comprehensive analysis will dissect the complex dynamics shaping Ethereum's current price outlook. We will explore the nature of the heavy volume wall that is capping its ascent and the strategic implications of the resulting price range. We will then delve into the mechanics of capital rotation, examining why traders are turning to lower-cap altcoins as a proxy for Ethereum's future success. Finally, we will weigh the bullish and bearish cases, charting the potential path to a $2,900 breakout while acknowledging the significant risks that could invalidate the optimistic thesis. For investors and market observers, understanding this intricate dance between consolidation, rotation, and breakout potential is paramount to navigating the next chapter in Ethereum's journey.
Part 1: The Great Wall of Ethereum - Deconstructing the Heavy Volume Range
To understand Ethereum's current struggle, one must first grasp the concept of a "volume wall." This is not a literal barrier, but a powerful technical and psychological construct visible on a price chart. It represents a price range where an unusually high volume of tokens has changed hands in the past. This area of high trading concentration becomes a major point of contention for future price movements, acting as a powerful magnet for both support and, in this case, resistance.
What is a Volume Wall and Why Does It Form?
A volume wall is best visualized using an indicator like the Volume Profile Visible Range (VPVR). Unlike traditional volume bars at the bottom of a chart that show volume per unit of time, the VPVR displays it horizontally, showing volume per price level. A large, protruding bar on the VPVR signifies a "High-Volume Node" (HVN), which is the technical term for a volume wall.
These walls form for several key psychological reasons:
1. Breakeven Sellers ("Bagholders"): A significant number of market participants may have bought ETH within this price range during a previous rally. When the price fell, they were left holding at a loss. Now, as the price returns to their entry point, their primary emotion is relief. Their goal is not to make a profit, but simply to exit their position at breakeven. This creates a steady stream of sell orders as the price enters the high-volume zone.
2. Strategic Profit-Takers: Investors who bought Ethereum at much lower prices see this high-volume area as a logical and predictable place to take profits. They recognize it as a zone of contention and potential reversal, making it an opportune moment to sell a portion of their holdings and de-risk.
3. Opportunistic Short-Sellers: Traders who are bearish on Ethereum view the volume wall as a high-probability area for the price to be rejected. They will strategically place short-sell orders within this range, adding to the selling pressure and betting on a move back down.
When these three forces converge, they create a formidable supply zone that can absorb a tremendous amount of buying pressure. For Ethereum to break through, it requires a catalyst strong enough to overwhelm this confluence of sellers.
Identifying Ethereum's Current Range
For the purpose of this analysis, let's assume this heavy volume wall for Ethereum is situated roughly between $2,750 and $2,850. This range becomes a battleground. When the price enters this zone, it often loses momentum and begins to move sideways in a "chop," characterized by volatile price swings without a clear direction.
The implications of being trapped below such a wall are significant. The market enters a state of consolidation or ranging. This means that for the time being, the explosive, directional trend is on pause. Bulls and bears are locked in a battle for control, and until one side emerges victorious, the price will likely remain contained. This period of consolidation, while frustrating for trend-followers, is a critical phase where the market digests previous gains, flushes out weak hands, and builds energy for its next major move. The key question for every trader is which direction that move will be.
Part 2: The Rotation Game - Chasing Beta in a Sideways Market
When a market leader like Ethereum enters a prolonged consolidation phase, a fascinating secondary effect begins to take hold: capital rotation. Traders and investors, particularly those with shorter time horizons, grow impatient with the lack of volatility in the primary asset. Their capital seeks higher returns and more immediate action, leading them to rotate out of the ranging asset and into more speculative plays. In the context of the crypto market, this often means moving into "high-beta" altcoins.
Understanding "ETH Beta"
In traditional finance, "beta" measures an asset's volatility in relation to a benchmark, like the S&P 500. An asset with a beta of 1.5 is expected to move 1.5% for every 1% move in the benchmark. In cryptocurrency, Ethereum itself often acts as a benchmark for the broader altcoin market.
"ETH beta" refers to altcoins that are highly correlated with Ethereum's price but exhibit much higher volatility. These are typically smaller, newer, or more speculative projects within Ethereum's ecosystem. The logic behind the "ETH beta play" is straightforward:
• If you believe Ethereum will eventually break through its resistance wall and rally, you can simply buy and hold ETH.
• However, if you want to maximize potential returns, you can instead buy a high-beta altcoin. The thesis is that when ETH finally moves up 10%, this smaller altcoin might surge 30%, 50%, or even more.
This strategy is essentially a leveraged bet on Ethereum's success, but without using financial leverage like futures or options. The leverage comes from the inherent volatility of the smaller asset.
The Allure of "Cheap Crypto"
The rotation often targets what is colloquially known as "cheap crypto." This term doesn't necessarily mean the project is undervalued, but rather that its token has a low unit price (e.g., under $1 or even fractions of a cent). This has a powerful psychological appeal:
• Accessibility: It feels more accessible to buy 1,000,000 tokens of a memecoin for $1,000 than to buy a fraction of one ETH.
• Perceived Upside: The low unit price creates the perception of explosive growth potential. It's psychologically easier to imagine a token going from $0.01 to $0.10 (a 10x return) than it is to imagine ETH going from $2,800 to $28,000.
During Ethereum's consolidation, we would likely see this rotation manifest in several key sectors of its ecosystem:
• Layer 2 Solutions: Projects like Arbitrum (ARB), Optimism (OP), and Polygon (MATIC) are prime candidates. They are fundamentally linked to Ethereum's scalability and success, making them a direct beta play. As traders anticipate an ETH breakout, they will front-run the move by accumulating these L2 tokens.
• DeFi Blue Chips and Dapps: Protocols for lending, borrowing, and trading, such as Uniswap (UNI), Aave (AAVE), or Lido (LDO), also fall into this category. Their usage and value are directly tied to the health of the Ethereum network.
• Memecoins and Newer Narratives: This is the highest-risk, highest-reward end of the spectrum. Memecoins built on Ethereum (like PEPE or SHIB) or on its Layer 2s can experience parabolic rallies based on pure speculation and social media hype, driven by the narrative that a rising ETH tide will lift all boats.
This rotation is a double-edged sword. While it signals underlying bullish conviction in the Ethereum ecosystem, it also diverts buying pressure away from ETH itself, potentially prolonging the consolidation phase. However, it is a clear sign that the market is positioning for an eventual breakout.
Part 3: The Bull Case - Charting a Path to the $2.9K Breakout
Despite the formidable resistance, a powerful bull case for Ethereum is building, suggesting that a breakout above the $2,900 level is not a matter of if, but when. This optimism is rooted in a combination of bullish technical patterns, strengthening on-chain fundamentals, and a powerful external narrative.
The Technical Setup for a Breakout
While the price may be moving sideways, a closer look at the chart often reveals underlying strength building beneath the surface. Several technical patterns and indicators could signal an impending breakout:
• Ascending Triangle Formation: A classic bullish pattern. This would be characterized by the price making a series of higher lows while being capped by the horizontal resistance of the volume wall (around $2,850-$2,900). The higher lows indicate that buyers are becoming more aggressive on each dip, squeezing the price upwards against the resistance. A breakout from the top of this triangle would be a powerful technical signal.
• Bullish Engulfing or Hammer Candlesticks: The appearance of strong bullish candlestick patterns at key support levels below the range would indicate that buyers are stepping in with force, absorbing selling pressure and defending the uptrend.
• Resetting Momentum Oscillators: During a consolidation phase, indicators like the Relative Strength Index (RSI) will cool off from "overbought" levels. If the RSI can reset back to neutral territory (around 50) while the price remains stable, it suggests the market is building up energy for another push higher without being overextended. A "hidden bullish divergence," where the price makes a higher low while the RSI makes a lower low, would be an even stronger signal of trend continuation.
• Support from Key Moving Averages: For the bull case to remain intact, Ethereum's price must hold above critical long-term moving averages, such as the 50-day and 200-day Simple Moving Averages (SMAs). These levels often act as dynamic support, and successful bounces from them reinforce the underlying bullish trend.
Fundamental and On-Chain Catalysts
Beyond the charts, Ethereum's fundamental health provides a strong tailwind for a potential rally:
• The Spot Ether ETF Narrative: The single most powerful potential catalyst on the horizon is the approval of a spot Ether ETF in the United States. Following the monumental success of the Bitcoin ETFs, the market anticipates that an Ether ETF would unlock a similar torrent of institutional capital. This narrative alone is enough to encourage accumulation, as investors look to position themselves ahead of a potential approval. Any positive news or regulatory progress on this front could provide the immense buying pressure needed to shatter the volume wall.
• Deflationary Supply Dynamics (The Burn): Thanks to the EIP-1559 upgrade, a portion of every transaction fee on Ethereum is "burned," or permanently removed from circulation. During periods of high network activity, this can make ETH a deflationary asset, meaning more coins are being destroyed than created. This programmatic scarcity is a powerful long-term value driver that makes holding ETH more attractive.
• The Growth of the Layer 2 Ecosystem: The success of Layer 2 solutions like Arbitrum and Optimism is not a threat to Ethereum but a testament to its success. These networks bundle transactions and settle them on the Ethereum mainnet, increasing its overall throughput and utility. A thriving L2 ecosystem drives demand for ETH as the ultimate settlement and data availability layer, strengthening its fundamental value proposition.
• Staking and Supply Sinks: A significant and growing portion of ETH's total supply is locked up in staking contracts to secure the network. This staked ETH is effectively removed from the liquid, circulating supply available for sale on exchanges. This continuous supply reduction creates a "supply shock" dynamic, where even a moderate increase in demand can have an outsized impact on the price.
When these technical and fundamental forces align, they create a powerful case that the consolidation phase is a temporary pause before the next major uptrend. A decisive break and close above $2,900 would liquidate short positions, trigger FOMO (Fear Of Missing Out) buying, and likely signal the start of a rapid move towards the next major psychological and technical target, potentially $3,500 or higher.
Part 4: The Bear Case and Prevailing Risks
A balanced analysis requires acknowledging the significant risks that could invalidate the bullish thesis. The volume wall is formidable for a reason, and a failure to break through could lead to a sharp reversal. Several factors could contribute to a bearish outcome for Ethereum.
Rejection at the Wall
The most immediate risk is a decisive rejection from the volume wall. If buying pressure wanes and sellers take firm control within the $2,750-$2,850 range, it could signal a local top. This would likely be confirmed by a break below the recent series of higher lows and key moving averages. Such a rejection could trigger a cascade of stop-loss orders from long positions, accelerating a move downwards to retest lower support levels, potentially in the $2,400-$2,500 range.
Macroeconomic Headwinds
As a major global asset, Ethereum is not immune to the broader macroeconomic environment. A "risk-off" sentiment sweeping through traditional markets would almost certainly impact crypto. Factors that could trigger this include:
• Hawkish Central Bank Policy: Unexpectedly high inflation data could force central banks like the Federal Reserve to maintain high interest rates for longer, or even signal further hikes. This "tight liquidity" environment is generally negative for risk assets like cryptocurrencies.
• Geopolitical Instability: An escalation of global conflicts can cause investors to flee to perceived safe havens like the US dollar or gold, pulling capital away from more speculative markets.
• Recessionary Fears: Signs of a weakening global economy could dampen investor appetite for risk, leading to broad-based selling across asset classes.
Regulatory Uncertainty
Regulatory risk remains a persistent cloud over the entire crypto industry, and Ethereum is at the center of a key debate. The U.S. Securities and Exchange Commission (SEC) has not definitively clarified whether it views ETH as a commodity (like Bitcoin) or a security. A negative ruling, or even prolonged legal battles suggesting it will be classified as a security, could have a chilling effect on the market. It would create significant compliance hurdles for exchanges and could derail the spot Ether ETF narrative entirely. Any negative headline on this front could be the catalyst that turns the volume wall from a temporary obstacle into an impenetrable ceiling.
Competitive Pressures
While Ethereum remains the dominant smart contract platform, it faces ever-growing competition from other Layer 1 blockchains (often dubbed "ETH Killers") like Solana, Avalanche, and others. These platforms boast high transaction speeds and low fees and are constantly vying for market share in the DeFi and NFT spaces. While a multi-chain future is the most likely outcome, a significant migration of developers and users away from Ethereum to a competitor could erode its network effect and negatively impact its long-term valuation.
Conclusion: A Pivotal Moment of Decision
Ethereum stands at a critical juncture, a crossroads where powerful bullish and bearish forces are locked in a tense equilibrium. The price is pinned against a heavy volume wall, a technical barrier representing the collective memory of the market. This has forced the asset into a period of consolidation, a sideways grind that is testing the patience of even the most steadfast bulls.
This very consolidation is fueling a secondary narrative of capital rotation, where traders, anticipating an eventual breakout, are channeling funds into higher-volatility "ETH beta" plays. The rallies in Layer 2 tokens and other ecosystem projects are a vote of confidence in Ethereum's future, a sign that the market is positioning for upside. The fundamental picture, bolstered by the potential of a spot ETF, deflationary supply mechanics, and a thriving ecosystem, provides a strong foundation for the bull case. The path to a $2,900 breakout seems not only possible but plausible.
However, the risks are undeniable. A failure to breach the wall could lead to a sharp correction, exacerbated by potential macroeconomic headwinds or negative regulatory surprises. The outcome of this battle will be pivotal. A successful breakout would reaffirm Ethereum's market leadership and likely kickstart a new wave of adoption and price appreciation across the entire altcoin space. A rejection would signal a deeper correction and a longer period of uncertainty. For now, the market holds its breath, watching the wall, waiting for the rotation to culminate, and anticipating the decisive move that will set the tone for the months to come.
ELLIOTT WAVE EURUSD H4 update
EW Trade Set Up H4
minuette W4 ended, w5 running
with the decisive break of the 1.1570 level, wave 4 can be declared finished and wave 5 is underway in motive way. Not clear yet the type of motive wave impulsive or diagonal.
daily key levels (area)
1.1732
1.1715 POC
1.1690
XAGUSD – Bullish Setup for a Move Toward 40 1. What happened recently
After the massive selloff in early April, Silver (XAGUSD) reversed aggressively — gaining nearly 10,000 pips and breaking into multi-decade highs near 38. That kind of move is not noise. It’s power.
The month of June brought consolidation, with price slowly correcting and stabilizing. But this doesn’t look like distribution — it looks like new accumulation.
2. The key question
Is Silver building a base for the next breakout, or has the rally run out of steam?
3. Why I expect another leg up
- 35.00 is now acting as a solid support — tested, respected
- The correction has been shallow, typical for a bull rectangle structure
- Momentum remains on the buyers’ side — no major breakdown signs
- If buyers step in strongly, the next target is clearly the 40.00 psychological level
- This is a textbook bullish continuation setup.
4. Trading plan
Swing traders should watch the 35.00–35.20 zone for buying opportunities.
The risk/reward is attractive — with a potential for +5000 pips on a move toward 40, while keeping stops under the base.
Buy the dips — not the breakouts.
5. Final thoughts 🚀
Silver is shining again. The trend is up, the structure supports further gains, and the chart is offering a clean setup. Until 35 fails, the bias remains bullish.
Disclosure: I am part of TradeNation's Influencer program and receive a monthly fee for using their TradingView charts in my analyses and educational articles.
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ETH in Trouble? This Breakdown Could Be Just the BeginningYello, Paradisers — are you spotting the same warning signs we did before the last major ETH correction? If not, now’s the time to pay close attention.
💎ETHUSDT is currently showing multiple bearish signals across both higher and lower timeframes. On the higher timeframe, we’ve confirmed a bearish Change of Character (CHoCH), which is often the first major clue that momentum is shifting from bullish to bearish. This shift suggests that ETH could be preparing for a deeper move down.
💎On the 15-minute timeframe, price has reacted directly from the BPR zone. What adds even more weight to this reaction is the clear bearish divergence we’re seeing on the MACD indicator. Together, these signs point to increased bearish pressure in the short term.
💎More importantly, ETH has already taken out Internal Range Liquidity (IRL), which often sets the stage for a move toward the External Range Liquidity (ERL). When IRL gets swept and momentum remains bearish, it’s typically a sign that the market is hunting for liquidity on the other side of the range—and that’s exactly where we believe ETH is headed next.
💎That said, to take this setup with high confidence, we’re waiting for a clean bearish candlestick pattern to form. Confirmation is key. A solid entry backed by strong price action improves the probability of success and allows for tighter, more efficient risk management.
💎However, if ETH breaks out and closes decisively above our invalidation zone, the entire bearish idea is off the table. In that scenario, patience will be our best tool—we’ll wait for price action to realign and only re-enter the market once a new high-probability setup presents itself.
🎖Strive for consistency, not quick profits. Treat the market as a businessman, not as a gambler. Patience and discipline are what separate the professionals from the herd. Stick to the process, trust the strategy, and you’ll stay ahead of 90% of the market.
MyCryptoParadise
iFeel the success🌴
USD/CAD: Momentum Turns South Again with Fed Cut Bets BuildingDownside risks flagged in a separate trade idea earlier this week finally materialised for USD/CAD, resulting in the initial target being achieved. With the price now trading marginally below those levels and momentum indicators still bearish, another short setup has presented itself.
If USD/CAD continues to hold beneath 1.3650, shorts could be initiated below the level with a stop above for protection. The obvious target would be support at 1.3550, where the price bounced strongly in May.
With market pricing for Fed rate cuts continuing to build, narrowing yield differentials between the United States and Canada, downside is also favoured from a fundamental perspective.
Good luck!
DS
ADA About to Explode or Fakeout Trap?Yello Paradisers — is ADA quietly setting up for a powerful reversal, or are we about to walk straight into a painful bull trap? This zone could decide everything, and here’s why you need to pay close attention.
💎Cardano (ADAUSDT) is currently sitting right on the supportive trendline of a descending channel, while also forming a classic double bottom pattern. What makes this even more significant is the presence of bullish divergence on RSI. This combination alone already hints at a potential bullish reversal, but there’s more to it.
💎The current zone also served as a previous resistance area, and it has now flipped into support—this “resistance-turned-support” structure adds confluence and increases the probability of an upward move. When multiple bullish signals align at a major structural level like this, it usually sets the stage for a strong bounce.
💎Aggressive traders who entered early from current levels are already seeing a potential 1:1 risk-to-reward ratio. However, for safer and more strategic positioning, conservative traders can wait for a pullback to this support zone. Waiting for a bullish confirmation candle after the pullback can offer a better entry with a healthier RR and higher probability of success.
💎That said, if the price breaks below the current support and closes a candle below our invalidation level, the entire bullish idea will be invalidated. In that scenario, the smart move is to remain patient and wait for a new setup to form. Chasing trades after invalidation is how most retail traders get trapped—don’t be one of them.
🎖Strive for consistency, not quick profits. Treat the market as a businessman, not as a gambler. This is the only way you’ll make it far in your crypto trading journey. Be a PRO.
MyCryptoParadise
iFeel the success🌴
Skeptic | RSI Masterclass: Unlock Pro-Level Trading Secrets!Hey traders, it’s Skeptic ! 😎 Ready to transform your trading? 95% of you are using the Relative Strength Index wrong , and I’m here to fix that with a game-changing strategy I’ve backtested across 200+ trades. This isn’t a generic RSI tutorial—it’s packed with real-world setups, myth-busting insights, and precise rules to trade with confidence. Join me to master the art of RSI and trade with clarity, discipline, and reason. Big shoutout to TradingView for this epic free tool! 🙌 Let’s dive in! 🚖
What Is RSI? The Core Breakdown
The Relative Strength Index (RSI) , crafted by Welles Wilder, is a momentum oscillator that measures a market’s strength by comparing average gains to average losses over a set period. Here’s the formula:
G = average gains over n periods, L = average losses.
Relative Strength (RS) = | G / L |.
RSI = 100 - (100 / (1 + RS)).
Wilder used a 14-period lookback , and I stick with it—it’s smooth, filters noise, and gives a crystal-clear read on buyer or seller momentum. Let’s get to the good stuff—how I use RSI to stack profits! 📊
My RSI Strategy: Flipping the Script
Forget what you’ve read in books like The Handbook of Technical Analysis by Mark Andrew Lim— overbought (70) and oversold (30) aren’t just for shorting or buying. I go long when RSI hits overbought, and it’s been a goldmine. I’ve backtested over 200 trades with this approach, and it’s my go-to confirmation for daily setups. Why does it work? When RSI hits overbought on my 15-minute entry chart, it signals explosive buyer momentum. Here’s what you get:
Lightning-Fast R/R: I hit risk/reward targets in 30 minutes to 2 hours on 15-minute entries (longer for 1-hour entries, depending on your timeframe).
Massive R/R Potential: An overbought RSI on 15-minute can push 1-hour and 4-hour RSI into overbought, driving bigger moves. I hold for R/Rs of 5 or even 10, not bailing early. 🚀
Rock-Solid Confirmation: RSI confirms my entry trigger. Take BTC/USD:
BTC bounces off a key support at 76,000, sparking an uptrend.
It forms a 4-hour box range, but price tests the ceiling more than the floor, hinting at a breakout.
Trigger: Break above the box ceiling at 85,853.57.
On 15-minute, a powerful candle breaks the ceiling, and RSI hits overbought—that’s my green light. I open a long.
Soon, 1-hour and 4-hour RSI go overbought, signaling stronger momentum. I hold, and BTC pumps hard, hitting high R/R in a short window.
This keeps trades fast and efficient—quick wins or quick stops mean better capital management and less stress. Slow trades? They’re a mental grind, pushing you to close early for tiny R/Rs. 😴
Pro Rules for RSI Success
Here’s how to wield RSI like a trading weapon:
Stick to the Trend : Use RSI in the direction of the main trend (e.g., uptrend = focus on longs).
Confirmation Only: Never use RSI solo for buy/sell signals. Pair it with breakouts or support/resistance triggers.
Fresh Momentum: RSI is strongest when it just hits overbought/oversold. If the move’s already rolling, skip it—no FOMO, walk away!
Customize Zones: Overbought (70) and oversold (30) can shift—it might show reactions at 65 or 75. Adjust to your market’s behavior.
Backtesting RSI: Your Path to Mastery
To make RSI yours, backtest it across at least 30 trades in every market cycle— uptrend, downtrend, and range. Test in volatile markets for extra edge. 😏 Key takeaways:
Range Markets Kill RSI: Momentum oscillators like RSI (or SMA) are useless in ranges—no momentum, no signal. Switch to ROC (Rate of Change) for ranges—I use it, and it’s a beast. Want an ROC guide? Hit the comments!
Overextended RSI Zones: On your entry timeframe (e.g., 15-minute), check higher timeframes (e.g., 4-hour) for past RSI highs/lows. These are overextended zones—price often rejects or triggers a range. Use them to take profits.
Final Vibe Check
This RSI masterclass is your key to trading like a pro—fast R/Rs, big wins, and unshakable confidence . At Skeptic Lab, we live by No FOMO, no hype, just reason. Guard your capital— max 1% risk per trade, no excuses. Want an ROC masterclass or more tools? Drop a comment! If this fired you up, smash that boost—it means everything! 😊 Got a setup or question? Hit me in the comments. Stay sharp, fam! ✌️
NZD/JPY: Bullish Breakout or Another Fade?NZD/JPY hasn’t closed above the 200-day moving average since July 2024, racking up more than ten failed bullish breaks in that time—seven of them in the past month alone. If today’s probe finds more traction, it could be the catalyst to bring bulls off the sidelines, especially on a close above 88.00 where wedge and horizontal resistance intersect.
If that plays out, traders could look to initiate longs above 88.00 with a stop below it or the 200-day moving average for protection. Minor resistance sits at 88.39, offering a nearby hurdle for the setup. Should that give way, 89.20 or 90.00 stand out as logical upside targets.
Alternatively, if the pair fails at the 200-day moving average again, the setup could flip, allowing shorts to be established beneath the level with a stop above for protection. 87.00 or wedge support around 50 pips lower may come into play as downside targets.
Momentum indicators favour upside near term. RSI (14) has broken its downtrend and moved further above 50, while MACD is on the cusp of a bullish crossover, confirming the signal.
Good luck!
DS
US30: Short setup brewingSitting in a rising wedge with bearish divergence after running into resistance at 43100, the US30 contract finds itself at an interesting juncture on the charts. If it can’t stage a definitive break above these levels, a short setup could be on the cards.
If the contract cannot break and hold above 43100, traders could look to initiate short positions targeting the 200-day moving average initially. If that were to give way, the target could be lengthened to 42000, where wedge support is currently found. A stop above 43100 would protect against reversal.
While MACD has staged a bullish crossover, the momentum signal is countered by what’s still bearish divergence between RSI (14) and price despite the latest bounce.
Given the proximity to month end—a period notorious for window dressing and false signals—the preference would be to wait for another retest and failure at 43100 before initiating the trade.
A de-escalation in trade tensions, lower crude prices and the prospect of a Fed rate cut as soon as July have been tailwinds for the contract over recent days. If it can’t continue to rally in this environment, it questions just what would be required to deliver further upside, just as negative tariff headlines potentially loom.
Good luck!
DS
SPX Bullish Breakout: 18% Upside to $7,300The S&P 500 has broken out of an inverse head and shoulders formation, targeting approximately $7,300 within three months. The MACD shows strong bullish momentum with a recent crossover above the signal line. The price is holding above the 21-day EMA, further confirming bullish momentum.