FTM trade entry set up to ride the next waveWeekly: long term analysis
FTM has performed incredibly well during the last bull run.
After a 95% deep correction during the bear market, FTM has built a very strong and clear support from the 0,17$ zone. A double bottom is currently forming at this level.
At the very beginning of 2023 FTM recorded a +200% increase with increased volume showing some market participants' interests.
Every past golden crosses (see orange circles) developed to a significant upward movement in prices.
Daily: short term analysis
After a first strong upward movement in the beginning of 2023, FTM has been building a double bottom with a confirmed bounce on the support line alongside a volume increase.
Price is now consolidating under the 0,32$ resistance line
Trade Strategy
Buy signal on a daily close break of the resistance line at 0,32$.
TP0: Secure 30% at 0,40$ level if you want to play it safe.
Objective 1: Double bottom neckline at 0,56$
Objective 2: Double Bottom target (swing move) to 1,80$
Objective 3: ATH at 3,46$
Invalidation scenario
Mental Stop: below the current consolidation range at 0,28$
If prices retrace to this level we will wait for the weekly closing price then set a Stop loss ¼ or Risk below the weekly close price.
Risk = Distance between Mental stop and entry point.
Why do I use a Mental stop?
Crypto is highly volatile. A mental stop technique can be used to avoid market short term and unpredictable volatility as well as stop hunting. Nothing is more frustrating than getting your stop executed just before being in the right movement :)
