🚨 DEGEN/USDT Short Trade Setup – Detailed Analysis 🚨
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Greetings, traders! Here's a comprehensive breakdown of the latest short trade opportunity in the DEGEN/USDT pair on the 15-minute timeframe. Let’s dive into the technical details to help you make an informed decision.
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🧐 Key Technical Observations
1️⃣ Rising Wedge Formation:
The price action shows a clear rising wedge pattern, a bearish continuation signal. This indicates that the bullish momentum is weakening, and sellers are likely to take control.
2️⃣ Bearish Divergence on RSI:
The RSI is showing a bearish divergence, where the price is making higher highs, but RSI is making lower highs. This confirms a loss of strength in the upward trend and signals a potential reversal.
3️⃣ Resistance Zone:
The pair faced strong rejection around the $0.01450 resistance level multiple times, indicating that buyers are struggling to push beyond this zone.
4️⃣ Breakdown Confirmation:
The wedge breakdown near $0.01408 serves as an entry signal for a short position.
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📈 Trade Setup
🔻 Entry Zone:
Enter short after confirmation below $0.01408 for optimal risk-reward.
🔻 Targets:
Target 1: $0.01350 – The first support level, where partial profit can be booked.
Target 2: $0.01280 – A stronger support zone for the final target.
🔻 Stop Loss:
Place a tight stop loss above $0.01470 to minimize risk in case of an invalidation.
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📊 Why This Trade Makes Sense
The rising wedge breakdown is a classic bearish setup that often results in a significant drop.
RSI bearish divergence confirms that the upward momentum is fading, and sellers are gaining strength.
The resistance zone rejection indicates that the market lacks the buying power to push higher.
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💡 Risk Management Tips
Only risk 1-2% of your capital on this trade to protect against unexpected market movements.
Stick to the stop loss and avoid emotional trading – always follow the plan!
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⚠️ Disclaimer
This analysis is based on technical observations and is not financial advice. Ensure you perform your own research and consider market risks before entering any trades.
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Let’s see how this setup plays out. Keep an eye on the key levels mentioned above and trade with discipline!
Profit Navigator – Guiding you to consistent profits!
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