A high-volume bearish candle overnight smashed through 79,000. I didn’t chase it; I placed a short order at 79,400, and it filled at 05:17.
I didn’t chase it at 78,900: after a breakdown, a pullback is common—the price often bounces first, then drops again. If I chased, my stop would be at 80,050, risking 600 points on a wrong call. By placing an order at 79,400, I risk only 500 points with the same stop.
Now at 79,113, my unrealized profit is +7% (0.001 BTC earns 0.29U—not enough for a cup of coffee). Stop-loss moved to 80,050.
Three scenarios: Conservative—wait for the 1-hour candle to close below 78,200; aggressive—short at the current price of 79,100, stop at 80,050, risking 0.95U if stopped out; invalidation—if it reclaims 80,300 (the 20-day cost basis line), then it was a false breakdown, and I’ll admit I was wrong and close the position.
How many times have you chased a breakdown and gotten trapped?
$BTC #BTC #TradeReview
I didn’t chase it at 78,900: after a breakdown, a pullback is common—the price often bounces first, then drops again. If I chased, my stop would be at 80,050, risking 600 points on a wrong call. By placing an order at 79,400, I risk only 500 points with the same stop.
Now at 79,113, my unrealized profit is +7% (0.001 BTC earns 0.29U—not enough for a cup of coffee). Stop-loss moved to 80,050.
Three scenarios: Conservative—wait for the 1-hour candle to close below 78,200; aggressive—short at the current price of 79,100, stop at 80,050, risking 0.95U if stopped out; invalidation—if it reclaims 80,300 (the 20-day cost basis line), then it was a false breakdown, and I’ll admit I was wrong and close the position.
How many times have you chased a breakdown and gotten trapped?
$BTC #BTC #TradeReview