Hello, Traders!
Over the last few hours, the XTZ/USDT 1-minute chart has given us a perfect textbook example of a trading setup. For everyone who has been following along, let's break down how a "wait for confirmation" strategy played out perfectly.
The Case Study: A Step-by-Step Breakdown
Step 1: The Initial Trend & Bounce
First, XTZ was in a clear downtrend. Then, it found a temporary bottom and started a pullback (a bounce), which can be tempting to trade against.
Step 2: Identifying the Key Level
We identified the ~1.141 level as the key resistance. Why? It was both the previous support level and the middle Bollinger Band. This was the "battleground" where we expected sellers to reappear.
Step 3: The Waiting Game (Patience is Key!)
Instead of immediately shorting the bounce, the strategy was to WAIT. We needed to see if the sellers were actually strong enough to defend this ~1.141 resistance level. This step is crucial and prevents entering a trade too early.
Step 4: The Confirmation Signal (The Trigger)
And the market gave us the signal! As you saw in the last chart, the price hit our resistance zone and was clearly rejected. We saw a strong red candle form with increasing sell volume. This was the confirmation we were waiting for.
The Resulting Trade Plan
This rejection signal triggered the 'Sell on Rise' strategy. Here is the resulting trade plan:
* Strategy: Short on Rejection
* ✅ Entry: Triggered around 1.137 - 1.141 after the rejection was confirmed.
* 🎯 Target 1 (TP1): A retest of the recent low at ~1.111.
* 🎯 Target 2 (TP2): If the low breaks, the next psychological level is ~1.100.
* 🚨 Stop-Loss (SL): Placed just above the rejection high, around 1.145.
What did you learn from this price action? Share your thoughts below!
#xtzusdt TZ #Tezos #CryptoTrading #TechnicalAnalysis #BinanceSquare #PriceAction $XTZ
#TradingStrategy #DYOR
