without_worries

Theta Fuel (TFUEL) - Bearish divergence

Short
BINANCE:TFUELUSDT   Theta Fuel / TetherUS
The probability of further upside following a massive 86,000% return since last March and multiple overbought conditions has reached a limit. The risk / reward now favours sellers.

Why bearish? On the above 4-day chart:

1) Price action has broken the 21-week EMA (yellow line) with a full bodied candle. Price action has also failed to confirm the ascending triangle pattern with a breakout to the underside.

2) Bearish divergence between price action and the oscillators. See 2-week chart below.

3) RSI support has failed with RSI now <50 = very bearish .

4) Astonishingly 96% of tradingview ideas are long counting the first 50 recently published. 90% of traders out there will lose money. Don’t be the 90.

5) Bearish engulfing candle recently printed on 2-week - remember this is a 2-week chart, very powerful.

A short entry from 38 cents is amazing.

Trade is void with price action holding 45 cents > 1-week.

Target? 3 cents.

WW


Comment: Expecting a rally to 34-45 cents area. Watch it closely, does it become support? Trade void.

Does it become resistance? Get a life jacket.
Comment: Should expect a rally to the 30 cents area following the buy signal.

Trade closed: target reached: Target reached -90% later.

No indication of a trend reversal at this time.


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BTC
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ETH
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Allow 3-6 months on ideas. Not investment advice. DYOR
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