Disclaimer: This is not financial advice. Please do your own research before making any investment decisions.
The ORDI token appears to be in a corrective phase, potentially forming an ABC pattern. This pattern typically involves three distinct waves:
* Wave A: The initial downward move.
* Wave B: A corrective phase, often forming a triangle pattern.
* Wave C: The final downward move, which can be impulsive or corrective.
Current Market Outlook:
Based on the chart, ORDI seems to be completing wave B, a triangle pattern. Once this pattern is complete, the price is likely to resume its downward trajectory.
Key Levels to Watch:
* Invalidation Level: A daily candle close above the red line could invalidate the bearish outlook.
* Supply Zone: The red zone represents a potential area of resistance where selling pressure might increase.
* Demand Zone: The green zone is a potential support level where buying pressure might emerge.
Trading Strategy:
Given the bearish outlook, a short position could be considered, with a stop-loss placed above the invalidation level. The target for this short position would be the green demand zone.
Risk Management:
* Stop-Loss: A well-defined stop-loss order is crucial to limit potential losses.
* Position Sizing: Proper position sizing is essential to manage risk effectively. Avoid risking more than a small percentage of your overall portfolio on any single trade.
Conclusion:
While the current technical analysis suggests a potential downward trend for ORDI, it's important to remember that market conditions can change rapidly. Continuous monitoring and adapting to new information are essential for successful trading.
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