$ADA Today's Pro Futures Trading Plan: ADA/USDT - May 18, 2025
• Trade Direction: Short (Price rejected at 20MA resistance; trading below both 20MA and 200MA suggests bearish momentum. Recent lower highs confirm downtrend structure.)
• Entry Zone: 0.7520–0.7640 (Retest of 20MA or breakdown below 0.7523 support.)
• Stop-Loss: Above 0.7812 (Invalidates bearish structure; 24h high as key resistance.)
• Risk/Reward Ratio: 1:3 (Stop: 0.029; Target 1: 0.7260 → 0.026 profit.)
• Profit Targets:
• Target 1: 0.7260 (24h low support).
• Target 2: 0.7129 (Next swing low).
• Target 3: 0.6746 (Extended bearish breakdown).
• Exit Strategy: Move stop to breakeven after Target 1; trail below 4h swing lows.
• Strategy Explanation: Price struggles below 20MA with declining volume, indicating weak buying pressure. 200MA acts as dynamic resistance—break below confirms downtrend continuation.
• Volume Profile: Low volume vs. MA(20) suggests lack of conviction in current price action.
• Leverage Note: Moderate (3–5x) due to ADA's volatility.
• Market Sentiment: Bearish; higher timeframe shows rejection at key moving averages.
• Invalidation/Caution: Close above 0.7812 invalidates bearish thesis.
• Alternative Scenario: If 20MA breaks upwards, consider long above 0.7812 targeting 0.7925.
Risk Disclosure: Always size positions ≤2% capital per trade.