Namaskar, LuckySevenTrader Community:
The #SNX/USDT pair is currently forming a Bearish Pennant pattern on the 4-hour timeframe, indicating a high probability of a price decline. The price is gradually moving down from the upper trendline towards the lower trendline, suggesting that sellers are gaining momentum.
Bearish Pennant Breakdown
If SNX/USDT completes the bearish pennant pattern by breaking through the lower trendline with a confirmed breakout, it could trigger a significant price drop. This setup offers traders a potential short-term opportunity to short the pair for profit.
How to Trade This Setup
Wait for Confirmation: Enter a short position only after the price confirms the breakout below the lower trendline. Waiting for confirmation helps reduce the risk of false breakouts.
Entry Point: Be ready to enter as soon as the breakout is validated on the 4-hour timeframe, ensuring you capture the optimal entry point for a short position.
Risk Management: Place a stop loss above the lower trendline or the last swing high to manage your risk effectively. Set your take-profit target based on the measured move of the bearish pennant to maximize the potential reward.
This setup provides a promising opportunity for shorting SNX/USDT in the short term. As always, manage your risk and wait for a confirmed breakout before entering the trade to increase your chances of success.
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#Bearish_pennant
$SNX $SNX