$LUNC – BEWARE THE SHADOW PUPPET

(BEARISH BIAS UNTIL STRUCTURE BREAKS)

TECHNICAL ANALYSIS & TRADING PLAN

🧮 CHART OBSERVATIONS

Price is respecting a long descending trendline / resistance zone, repeatedly failing to close above it.

Recent candles show rejection wicks at resistance, indicating seller dominance.

Support area lies at a horizontal zone (base of recent consolidation) — acting as potential sink for breakdown.

Momentum oscillators (RSI / MACD) show weakening bullish strength; any bounce lacks conviction.

Volume tends to thin on rallies, thickens on any downside – confirming distribution.

🎯 TRADE SETUPS

1) SHORT Entry (preferable)

Entry: after break and close below support zone (or after a clear retest of broken support as new resistance)

Target 1 (TP1): next support / demand area down

Target 2 (TP2): major lower structural zone

Stop‑Loss: just above recent swing high or retest high

2) LONG Entry (countertrend / swing) – higher risk

Entry: only if price breaks and closes convincingly above descending resistance + retests it as support

Target 1 (TP1): next resistance above

Target 2 (TP2): major resistance level above

Stop‑Loss: below breakout retest low

📊 RISK MANAGEMENT

Risk ≤ 1 %–2 % of total trading capital per trade

Use position sizing to align with SL distance

Do not average into losing trades

If structure breaks (i.e. trendline invalidated or support broken strongly), reassess bias

#Technical #Trendlines #SupportResistanceZones #Momentum #Volume $LUNC $LUCE