Afternoon Market Analysis and Trading Strategy
Four-hour Level: After a large bullish candle, the market has entered a 'small bullish' adjustment pattern, indicating that bullish momentum is temporarily exhausted. Although the price has stabilized, the upper shadow line suggests heavy selling pressure above, and the reduced volume during the upward movement indicates a weakening interest in buying at the current price level, raising doubts about the sustainability of further increases.
Hourly Level: Market volatility has narrowed, forming a small consolidation pattern. Multiple technical indicators show that bullish momentum has been fully released, and there is a technical demand for the price to move towards the lower boundary of the range or even break downwards.
Comprehensive Conclusion: The short-term bullish trend in the market has paused, facing the risk of a technical pullback correction. Cautious attempts at short positions can be considered in operations.
Specific Trading Plan:
Bitcoin
Short Entry Range: 116,000 - 116,400
Target Take Profit Level: Around 115,000
Stop Loss: Recommended to set above 116,800 or 117,200
Ethereum
Short Entry Range: 4,740 - 4,770
Target Take Profit Level: Around 4,650 USDT
Stop Loss: Recommended to set above 4,800 or 4,830
Key Reminders and Risk Control:
Light Position Experimentation: This is currently a short-term opportunity during an adjustment phase, so be sure to operate with light positions and strictly control the risk of each trade.
Observation Confirmation: After entering, closely monitor the strength of the pullback. If the price fails to effectively break down support and quickly recovers, consider exiting early.
Strict Execution: Be sure to set stop losses to prevent significant losses due to sudden market reversals.
Disclaimer: The above is only a technical analysis based on the current market structure and does not constitute any investment advice. Digital currencies are highly volatile; please make rational decisions and manage risks effectively.
