$ENA fell below the 0.21 level.
How is this level determined?
There are often plenty of stop-loss orders clustered around key levels. Once the price crosses one, those stops can be triggered all at once, often causing volatility to spike suddenly.
The first pullback after breaking above a level is often seen as a test: if the price can hold near the level, the idea that resistance has turned into support is more likely to hold.
Sizing your position based on the stop-loss distance is much more reliable than placing trades by gut feel.
How is this level determined?
There are often plenty of stop-loss orders clustered around key levels. Once the price crosses one, those stops can be triggered all at once, often causing volatility to spike suddenly.
The first pullback after breaking above a level is often seen as a test: if the price can hold near the level, the idea that resistance has turned into support is more likely to hold.
Sizing your position based on the stop-loss distance is much more reliable than placing trades by gut feel.