SCENARIO FOR $AI - WARNING! WARNING!
This is a structured trading approach, with both bullish and bearish scenarios clearly defined
1. Current Price Action
• The price of 0.5866 is between two important levels of 0.6000 and 0.5800, indicating a possible consolidation before a breakout.
• Check the volume: If volume increases at key levels, it could reinforce the breakout or breakdown.
2. Buy Strategy: Above 0.6000
• Scenario: Price breaks above 0.6000 on high volume.
• Confirmation: Watch the smaller timeframes (e.g. H1 or M15) to ensure price does not generate a “false breakout” signal.
• Targets: 0.6200, 0.6350, and 0.6500 are potential levels, but pay attention to price reaction at each level.
3. Short Strategy: Below 0.5800
• Scenario: Price breaks below 0.5800 and does not return to the upper zone in the short term.
• Confirmation: Use tools like RSI or MACD to determine bearish momentum.
Note: Stop loss at 0.5950 near resistance, reasonable if the market reverses sharply.
4. Volatility Monitoring
• Indicators to watch:
• RSI: Is it in overbought/oversold territory?
• Bollinger Bands: Is price breaking the limit?
• If $AI enters a prolonged consolidation phase, prepare for a stronger breakout.
5. Risk Management
• Risk per trade should not exceed 1-2% of total capital.
• Adjust your position size to match your stop loss distance.
Are you trading short term or are you interested in long term trends?
This article is for informational purposes only! This is not financial advice!
