$HEI
Understanding the Situation:
Liquidation Price ($12.572K at $0.68904): If the price of HEI reaches $0.68904, there’s a risk of your position being liquidated. This means if the price drops too much, your position could automatically be closed to prevent further loss.
Current Price: The price is above $0.68904, so the position isn’t at risk yet. But, monitoring it is key to avoid a sudden drop.
Trading Strategy Breakdown:
1. Analyze Market Trends:
Downtrend: If the price has been dropping recently, it might continue toward the liquidation point. Watch for a trend reversal.
Uptrend: If the price is moving higher, you might be in a good position to buy before it hits resistance levels.
2. What’s Next?:
Look for Support Levels: The key is identifying support zones where the price could bounce up. If HEI has bounced at $0.70 or $0.72 in the past, those levels might act as support in future movements.
Price Reversal Signals: You want to see signs of reversal before entering, like an upward trend or bullish candlestick patterns.
3. Buy Zone:
Look for an entry point around $0.72 to $0.75. This range has shown support in previous price movements, and if HEI bounces off it again, it could be a great time to buy.
Confirmation: Wait for confirmation before jumping in. If the price starts rising from the buy zone, you’ll know the trend is reversing.
4. Target (Profit Zone):
Set your target at a resistance level. If HEI has struggled to go above $0.85 in the past, aim for that as your first target.
Your goal should be a price where the asset tends to slow down or reverse. $0.85 is a safe, realistic target based on previous trends.
5. Stop Loss (Risk Management):
Place a stop loss just below your buy zone to protect yourself. For example, if you buy at $0.75, you could set a stop loss around $0.68 or $0.67.
The stop loss should be far enough below the support level to avoid being triggered by short-term price fluctuations but close enough to limit large losses.