$FORTH /USDT Short Trade Opportunity
$FORTH is showing signs of exhaustion near the recent resistance zone after a mild upward push. Despite the short-term bullish spike, the price failed to break above the key resistance level at $2.62, and sellers appear to be stepping in. Combined with declining volume and resistance pressure, this sets the stage for a potential short setup.
Here’s a detailed short trade plan:
Entry:
Current market price around $2.566 is a valid entry for this short trade.
Stop Loss:
Place the stop loss slightly above the recent high at $2.635 to give some breathing room beyond the resistance. This protects against a false breakout.
Take Profit Targets:
Use a conservative step-down target approach, locking in partial profits as the price descends.
Target 1: $2.48 – Minor support zone tested earlier. Take 30% profit.
Target 2: $2.36 – A more solid horizontal support from recent demand. Take another 40% profit.
Target 3: $2.25 – Deeper support area and psychological round level. Final 30% exit.
Risk-Reward Ratio:
This trade offers a favorable risk-reward profile: risking ~7 cents per token for a potential gain of ~30 cents (T3), which is over 4:1.
Technical Rationale:
Lower highs on the short-term chart
Volume divergence on the recent pump
RSI nearing overbought zone and turning down
Bearish candles forming near resistance
Final Thoughts:
If the price fails to reclaim and hold above $2.62 with volume support, the bears are likely to take control. Patience and tight risk management are essential. Watch for a 15m or 1h bearish engulfing candle to confirm momentum before entering aggressively.
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