### **Bullish Confirmation & Entry Strategy**
1. **Resistance Break Confirmation**:
- **Critical Level**: $411.2 (24h high)
- **Action**: Wait for a **1H/4H close above $411.2** to confirm bullish momentum. This reduces false breakout risks.
2. **Optimal Entry**:
- **Preferred Zone**: $400–$405 (aligns with psychological support & mid-range pivot).
- **Validation**: Look for bullish reversal candles (e.g., hammer, engulfing) or RSI >50 on 15m/1h charts here.
- **Aggressive Entry**: Near $405 if volume surges and price holds above VWAP.
3. **Avoid FOMO**:
- Current price ($408.7) is near the top of your entry range. Chasing here risks entering at resistance. Patience for a dip or $411+ close is safer.
---
### **Profit Targets & Exit Plan**
| Target | Significance | Risk-Reward (from $405) |
|----------|--------------------------------------|-------------------------|
| **$415** | Breakout continuation | 1:1 (SL: $392) |
| **$429** | Local swing high (6-8% gain) | 1:2.5 |
| **$450** | Fib extension (11% gain) | 1:4.5 |
**Trailing Tip**: Move stops to breakeven at $415, then trail below 4H candles.
---
### **Risk Management**
- **Stop Loss**: **$392** (below 4H support).
- *Why?* A close below $392 invalidates the structure and may trigger liquidations.
- **Position Size**: Limit to 1-2% of capital given 4% risk ($405 → $392).
---
### **Critical Watchlist**
1. **Volume**: Sustain above $20M/24h. Declining volume = weakening momentum.
2. **BTC Correlation**: If Bitcoin dumps below $69K, TAO likely reverses. Monitor BTC 1H trends.
3. **Support Holds**: $405 must act as intraday support. If lost, expect retest of $392.
---
### **Technical Context**
- **Strength**: Bullish MACD/RSI on 4H, reclaiming $400.
- **Caution**: RSI may be near overbought (70+) on lower timeframes. Let price action lead.
- **Liquidity**: Solid volume reduces slippage risk.
### **Final Verdict**
✅ **Valid Setup** if:
- Entry near $400–$405 with SL @ $392.
- $411.2 breaks with 1H close & volume support.
- BTC remains stable.
❌ **Avoid if**:
- Chasing above $410 without breakout confirmation.
- Volume fades or BTC turns bearish.
*Always scale profits and never risk capital you can't afford to lose.* Trade safe! 🚀#CryptoCharts101 #TradingMistakes101 #CryptoFees101 #CryptoSecurity101 #TradingPairs101 $TAO