VELVET is expanding downward from its peak according to its daily timeframe.
📓 Trading note |
$VELVET /USDT · Trend: BEARISH (SHORT) · 6/12 signals in agreement
Technical conclusion: STRONG SHORT. 6 out of 12 signals agree, 1 signal is contrary.
What supports (6):
• Daily trend: price < EMA50 < EMA200, bearish structure
• 4h trend: price < EMA50 < EMA200, bearish structure
• Trend strength (ADX/DI, 15m): ADX 60.0 with sellers controlling (DI+ 9.4 vs DI− 31.0)
• 4h RSI: 34.2, downward momentum (below 45)
What opposes (1):
• Distance from 1h EMA50: -3.4 ATR vs 1h EMA50, “overextended,” with a risk of a rebound
I’m watching to enter a SHORT near 0.0556400 on the 1h chart. I want to see price stay below the 1h EMA50, while the daily trend remains bearish and the 4h EMA structure stays intact. This is a fairly strong setup with ADX at 60.0 and 1h RSI around 26, but price is currently about 3.4 ATR away from the 1h EMA50—that’s a pretty large stretch. I’ll be wrong if price turns back up above 0.0609340, so I’m setting that as my hard invalidation level.
Entry: 0.0555127 – 0.0557673 | SL: 0.0581067
TP1: 0.0537900 | TP2: 0.0525566 | TP3: 0.0507066
If you “bet” on the bearish direction during a rebound leg, where would you place your invalidation?
The chart has every level 👇
📓 Trading note |
$VELVET /USDT · Trend: BEARISH (SHORT) · 6/12 signals in agreement
Technical conclusion: STRONG SHORT. 6 out of 12 signals agree, 1 signal is contrary.
What supports (6):
• Daily trend: price < EMA50 < EMA200, bearish structure
• 4h trend: price < EMA50 < EMA200, bearish structure
• Trend strength (ADX/DI, 15m): ADX 60.0 with sellers controlling (DI+ 9.4 vs DI− 31.0)
• 4h RSI: 34.2, downward momentum (below 45)
What opposes (1):
• Distance from 1h EMA50: -3.4 ATR vs 1h EMA50, “overextended,” with a risk of a rebound
I’m watching to enter a SHORT near 0.0556400 on the 1h chart. I want to see price stay below the 1h EMA50, while the daily trend remains bearish and the 4h EMA structure stays intact. This is a fairly strong setup with ADX at 60.0 and 1h RSI around 26, but price is currently about 3.4 ATR away from the 1h EMA50—that’s a pretty large stretch. I’ll be wrong if price turns back up above 0.0609340, so I’m setting that as my hard invalidation level.
Entry: 0.0555127 – 0.0557673 | SL: 0.0581067
TP1: 0.0537900 | TP2: 0.0525566 | TP3: 0.0507066
If you “bet” on the bearish direction during a rebound leg, where would you place your invalidation?
The chart has every level 👇
