The more I look at this level, the more it seems like the drop may not be over yet. $ADA fell 8.19% in a day, to 0.1503, just one step away from the 24-hour low of 0.1426. It also reached a 24-hour high of 0.1656.
For those holding, the biggest dilemma right now isn't how much it has fallen, but whether to exit or hold on at this point. Put simply: if 0.1426 breaks, there won't be much left to stop the bears; but after an 8.19% drop in a single day, those chasing the short are also betting that it won't stop falling.
Direction: Watch for a short opportunity; don't chase it right now. Reference range: 0.1503–0.1541; watch for a move higher within this range. Invalidation level: a break above 0.1541. Target: 0.1426. Risk level: high. Assuming an entry near 0.1503, the loss to the invalidation level would be about 0.0038, while the potential gain to the target would be about 0.0077, for a risk-reward ratio of around 2.0.
With this risk-reward ratio, would you try shorting at this level, or would you rather sit it out and risk missing the move?
For reference only; not investment advice. Pay attention to position sizing.
$ADA
#ADA #TradingOpportunity
For those holding, the biggest dilemma right now isn't how much it has fallen, but whether to exit or hold on at this point. Put simply: if 0.1426 breaks, there won't be much left to stop the bears; but after an 8.19% drop in a single day, those chasing the short are also betting that it won't stop falling.
Direction: Watch for a short opportunity; don't chase it right now. Reference range: 0.1503–0.1541; watch for a move higher within this range. Invalidation level: a break above 0.1541. Target: 0.1426. Risk level: high. Assuming an entry near 0.1503, the loss to the invalidation level would be about 0.0038, while the potential gain to the target would be about 0.0077, for a risk-reward ratio of around 2.0.
With this risk-reward ratio, would you try shorting at this level, or would you rather sit it out and risk missing the move?
For reference only; not investment advice. Pay attention to position sizing.
$ADA
#ADA #TradingOpportunity