Long Position and Short Position - Complete Guide ✅
✅ Long Position (Buy Setup)
📌 Conditions for Entry:
RSI Trendline Breakout: RSI breaks above its downward trendline.
Breakout in Oversold Region: RSI breakout occurs near or below 30, signaling a reversal.
Price Breaks Trendline: The price also breaks above a descending trendline.
📍 Trade Setup:
Entry Point: Just after the breakout confirmation on both RSI and price.
Stop Loss: Just below the recent swing low.
📈 This setup indicates a bullish reversal—great for catching a bottom in a downtrend.
✅ Short Position (Sell Setup)
📌 Conditions for Entry:
RSI Trendline Breakout: RSI breaks below its upward trendline.
Breakout in Overbought Region: RSI breakout happens near or above 70, confirming a likely reversal.
Price Breaks Trendline: The price breaks below an ascending trendline.
📍 Trade Setup:
Entry Point: Immediately after confirmation of the breakout.
Stop Loss: Just above the recent swing high.
📉 This setup indicates a bearish reversal—useful for shorting after a strong uptrend.
These strategies combine price action with momentum analysis (RSI) for higher probability trades.
