📈 HOW I RIDE THE BOUNCE WHEN A DOWN TREND BREAKS ON H4
Check out XRP in the example below:
✅ Price broke the downtrend line that had been in place for several days.
✅ RSI made higher lows and broke the RSI trendline before the price surged.
✅ Delta Divergence appeared, indicating weakening selling pressure.
✅ Funding Rate is negative, but the price isn't dropping further → a sign of absorption of selling pressure.
✅ BUY signal appeared right at a crucial support zone.
📌 Points to Consider:
Typically, RSI leads the price. When RSI breaks the downtrend line and crosses above 50, it signals that capital is returning to the market.
After the downtrend line on H4 is broken, it's better to wait for the price to retrace to support to Long instead of FOMOing into the green candle.
🎯 Targeting liquidity zones and key levels above:
1.1414
1.1801
1.1990
⚠️ This is a bounce trading strategy based on structure and momentum, not trying to catch the bottom.
📊 Analysis using the mrd indicator suite helps visualize market structure, RSI, Delta Divergence, and liquidity zones effectively.
#Mrdoc #Mrdvanthienha #Mrdindicators $XRP