Personal Trading Tip: The “Support & Resistance Range Rebound Strategy”
🔥 Introduction
Imagine using clear chart zones as automatic signal providers – without having to constantly stick to the screen. This strategy based on prominent support and resistance levels can help you trade systematically during volatile phases and minimize unnecessary losses.
🎯 Step-by-Step Guide
1. Identification of the Range:
Draw the recent highs and lows for BTC/ETH – for example, BTC between $100,000–$110,000, ETH at $2,400–$2,750.
2. Wait for Confirmation:
Wait until the price comes back and clearly bounces off a boundary (lower or upper end) – e.g., Bitcoin just above $104,000 at support?
3. Entry & Stop-Loss:
Buy on the rebound near support, set a stop-loss a few percent below; sell at an increase at the resistance zone.
4. Risk Management:
Use a maximum of 1–2% of your portfolio. Close the position with take-profit at the opposite range limit or adjust manually.
⚠️ My Mistakes from Practice
I have often leveraged too much or entered before the rebound was clear – resulting in frustrating stop-outs. Now I prefer to wait for a few candles for confirmation and trade with smaller positions.
❓ Question for You
Do you prefer trading breakouts or rebounds? What mistakes would you avoid with stop-loss positions? Share it in the comments!
What do you think? Comment below!
