$AAVE in a critical breakout phase
Smart trading strategy to achieve profits
Professional technical analysis on #AAVE/USDT
Current situation:
Price: 261.97 USDT (+2.68%)
RSI(6): 72.52 (Overbought area, signal of momentum strength)
Bollinger Bands Indicator: Price breaks the upper limit (277.37) after a long accumulation phase
Moving Averages MA(5) significantly above MA(10), confirming strong upward trend
Technical note:
AAVE has exited a range of fluctuation lasting more than 8 weeks, which aligns with Dow Theory at the beginning of a new upward trend.
There is strong buying momentum (positive MACD, and a clear gap between DIF and DEA)
Trading volume is high, supporting the trend
Proposed trading strategy:
Strategy: "Breakout Momentum Strategy"
1. Entry point:
Gradual entry between 255 – 263 USDT.
If resistance at 277.5 is broken with a daily close, the position can be reinforced.
2. First target: 295 USDT
Second target: 330 USDT (if momentum continues)
3. Stop loss: Below the previous support 245 USDT (if the breakout fails)
4. Risk management:
Do not exceed a risk percentage of 3% of capital.
Use trailing stop orders to secure profits.