You can see the support/demand zone in yellow. This area can be used as support if price breaks down.
If this area holds as support, you can expect a bounce up, but if it breaks you can expect the price to continue going down. For this reason, we use a close below this area as our stop loss.
Meaning, if a closes, 4 hours per candle on this time frame/ example, below the "support/demand zone" (74.0), then we close the trade. This would be our stop loss.
Here is a full trade for Bitcoin Cash SV ( BSV ) versus the dollar (USD).
Trade Instructions for BSVUSD by Alan Masters Trades
Buy: 77.1 - 79.3
Next support: 74.6
Stop loss: Close daily below 74.0.
Capital allocation: <10%.
THE WIN IS HERE
Waiting for long with compromises to attend.
Running, running, rushing and working, determined... thinking wildly...
"One day hard work will pay".
So you keep going on...
YES, KEEP GOING!
YOU CAN DO THIS!
YES I CAN!
The path become clearer... The clouds are no longer gray.
The sun is shinning.
The weather is great.
Hard work pays off... The win is here again.
Now it gets fun, no more hard work...
It is time to get paid.
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