IPUSDT: short setup from daily support at 8.378

2 days ago

A very sharp decline in the IPUSDT.P was stopped at the 8.414 level.
Usually, the natural reaction to such a drop is a correction, but we are not observing one here.
It is precisely this lack of a correction that is drawing my attention.

On the downside (for a short scenario), there is a consolidation zone that formed from Aug 30th to Sept 7th, which is a heavy area that could be difficult to break through.
Additionally, the asset has already covered a significant distance today, and there might simply not be enough energy left for a breakout.
Therefore, I will be watching very closely how exactly the price approaches this level.

Key factors for this scenario

• Correlation with the market
  
• Volatility contraction on approach
  
• Momentum stall at the level
  
• No reaction after a false break
  

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2 days ago

Trade active

2 days ago

Note

Trade Setup:
Entry: 8.342
Stop-Loss (SL): 8.471
The idea is valid as long as the price has not hit the stop-loss level.

2 days ago

Note

Okay, you need to keep your finger on the pulse here. The asset could go for a breakout of the level now, as the price is right near it, or it could pull back and consolidate for a few more hours.
So, I am watching closely.
Publishing entry and exit points in this format is inconvenient, so I'm stopping that.

2 days ago

Trade closed: target reached

2 days ago

Note

The scenario played out well.