1. Entry Points
Bullish Strategy (Buy)
Strong Support Area:
If the price approaches or drops to the support area of $0.120-$0.122, this could be a buying opportunity, especially if indicators like RSI and Stochastic RSI remain in oversold territory. Wait for confirmation such as:
An increase in volume.
A significant green candlestick around the support level (e.g., reversal patterns like a hammer or bullish engulfing).
Breakout Above Resistance:
If the price successfully breaks above the $0.130 resistance level with high volume, it indicates a trend reversal. You can enter after the breakout, with short-term targets of $0.140-$0.145.
Supporting Indicators:
RSI: If it rises above 50, this confirms bullish momentum.
MACD: Wait for the MACD line to cross above the signal line to confirm a positive trend shift.
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2. Exit Points
For Long Positions (Buy)
Take Profit:
Short-term target: $0.130 (first resistance).
Mid-term target: $0.140-$0.145 if the price breaks through the initial resistance.
Trailing Stop-Loss:
Set a trailing stop below the MA(7) or 2-3% below the current price after the price starts to rise.
For Short Positions (Sell)
If the price fails to break above $0.130 and starts to drop again, the take-profit target for short positions would be $0.120 or lower.
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3. Stop-Loss (Essential for Risk Management)
For Long Positions (Buy): Place a stop-loss below $0.118, as a break below this level indicates further bearish movement.
For Short Positions (Sell): Place a stop-loss above $0.132 to avoid losses if a bullish breakout occurs.
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4. Scenarios Based on Volume
Low Volume: If the price moves without an increase in volume, an uptrend will likely be weak, and the price is more likely to remain sideways or decline.
High Volume: A volume spike supports the validity of a breakout or trend reversal.
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Quick Recommendations:
1. Buy at the support area of $0.120-$0.122 or after a breakout above $0.130.
2. Take profit at $0.140-$0.145 or use a trailing stop.
3. Stop-loss below $0.118.