$SAGA Trade Setup 📈📉
SAGA/USDT 4H Timeframe Analysis
Overview:
- The chart shows a clear reversal pattern forming, supported by bullish divergence on the RSI.
- Price broke out from the descending trendline, indicating a possible trend shift.
Buy Signal 🎯
- Entry
Buy near the 1.19 - 1.20 USDT level, as the breakout is confirmed, and the RSI is signaling a bullish momentum.
Take Profit Levels:
1. TP1: 1.49 USDT (psychological level and next resistance)
2. TP2: 1.75 USDT (based on previous swing high)
3. TP3: 1.79 USDT (Fibonacci extension and resistance zone)
Stop Loss:
- Place your stop loss around 1.06 USDT just below the recent lows and support zone to protect against fake breakouts.
Leverage:
- Use 3x - 5x leverage for moderate risk. Since this is a 4-hour chart, volatility can be expected. Avoid overleveraging to manage drawdowns.
Risk Management:
- Risk 1-2% of your portfolio per trade.
- Reward-to-risk ratio is around 2.5:1 to 3:1 depending on your targets.
- Move your stop to break even once 1.49 USDT is reached to secure profits.
Strategy:
- If the breakout sustains, you can hold for higher levels.
- Watch for volume confirmation and potential retracements before adding more positions.
This is a mid-term play, perfect for traders who prefer swing setups.
