To create a real trading operation for ChainGPT (CGPT), let's follow these steps based on current data and trading best practices:
1. Market Analysis:
Current price: $0.3870 (as of last update).
General trend: Strong upside of 85.3% in the last 24 hours, indicating strong positive momentum.
The most important levels:
Support level: $0.3500.
Resistance level: $0.4200.
2. Trading Strategy:
A. Entry and exit points:
Login:
If the price breaks the resistance level of $0.4200 with high trading volume, a buy trade can be opened.
Alternative: Buy on a pullback to the $0.3500 support level (buy on a pullback strategy).
Exit:
First profit target: $0.4800 (initial target).
Second profit target: $0.5200 (if bullish momentum continues).
Stop Loss:
If entry is at $0.4200, place stop loss at $0.3800.
If entry is at $0.3500, place a stop loss at $0.3200.
B. Deal Size and Risk Management:
Invest only a small portion of your capital (5-10%) to reduce risk.
Ideal reward to risk ratio (R:R): 2:1.
3. Executing the transaction:
Scenario 1: Buy on breakout
Entry: Buy at $0.4200.
Stop Loss: $0.3800.
Profit target: $0.4800 (R:R = 1.5:1).
Scenario 2: Buy on the Dip
Entry: Buy at $0.3500.
Stop Loss: $0.3200.
First profit target: $0.4200 (R:R = 2.33:1).
Second profit target: $0.4800 (R:R = 4.33:1).
4. Continuous monitoring and analysis:
Monitor price action using indicators such as:
RSI: To ensure there is no overbought.
Trading volume: To ensure that there is strong support for the upward movement.
If positive news continues about the project, it may reinforce the upward trend.
comments:
The cryptocurrency market is very volatile, and the trend can change quickly.
Do not enter the trade if technical indicators indicate a weakness in the upward momentum.
It is preferable to use a demo account to confirm the strategy before implementing it on a real account.
