Most traders see a tight range and expect another bounce, but compression near resistance often releases in the direction of trapped liquidity—not optimism.

$CVX /USDT – SHORT

Trade Plan:

Entry: 1.512 – 1.525
SL: 1.548

TP1: 1.485
TP2: 1.462
TP3: 1.435

Why this setup?

- Price has failed to reclaim the 1.536–1.558 rejection zone after multiple attempts, showing that sellers continue to defend the local supply despite intraday recoveries.
- The 15m moving averages are beginning to flatten, with price trading around the MA(7), MA(25), and MA(99). This loss of momentum often precedes a volatility expansion, especially after prolonged sideways action.
- Recent candles are printing lower highs beneath the session peak at 1.558, while buying volume has weakened compared to the impulse move, suggesting upside momentum is fading.
- The 1.510–1.515 area is acting as the final intraday support. A decisive breakdown below this level could trigger resting stop-losses and accelerate selling toward the next liquidity pockets around 1.485 and 1.462.
- Risk remains clearly defined above 1.548. As long as price stays below the recent swing high, the risk-to-reward favors the downside continuation rather than chasing a late recovery.

Debate:

Would you short the breakdown below 1.510, or wait for one final liquidity sweep into 1.535+ before looking for confirmation?

#write2earn