Filecoin ($FIL ) is in a clear and aggressive downtrend. Trying to buy here and guess the bottom is one of the fastest ways to lose capital. This is a time for discipline, not hope.
A professional trader respects the trend and waits for the market to either confirm its continuation or show a powerful sign of reversal. We will define the immediate battle lines and plan for both scenarios.
📊 The Analysis: Defining the Battlefield
The price is taking a brief pause after making a new low. This is our immediate range.
🔹 Resistance (The Ceiling): Sellers are capping any bounce at the recent minor high of $2.28. The larger downtrend line is also major resistance.
🔹 Support (The Floor): Buyers are attempting to form a new, fragile support at the current low of $2.20.
🔹 The Market Emotion: Fear is the dominant emotion. The trend is clearly bearish.
📈 The Game Plan: Don't Fight the Trend, Wait for a Signal.
The #1 rule is to assume the trend will continue until proven otherwise.
1. The Bearish Continuation Plan (Primary) 🐻
✅ Entry Signal: Wait for a strong 1-hour or 2-hour candle to close decisively BELOW the support at $2.20. This confirms the downtrend is resuming.
🎯 TP1: $2.15
🎯 TP2: $2.10
🛑 SL: Place it back inside the range, around $2.22.
2. The Bullish Reversal Plan (Very Low Probability) 🐂
✅ Entry Signal: For a safe long trade, we need a powerful sign that the entire downtrend is breaking. This requires a strong candle to close decisively ABOVE the resistance at $2.28 AND the downtrend line.
🎯 TP1: $2.34
🎯 TP2: $2.40
🛑 SL: Place it back below the breakout level, around $2.26.
🔥 The Bottom Line: The trend is your friend. Right now, the trend for FIL is down. The highest probability play is to wait for the support to break. Don't try to be a hero by catching a falling knife.
👇 Will FIL finally bounce here 📈 or is the next stop lower 📉? What's your call?
❤️ Like if you learned to respect the trend, and follow for more safe trading plans!