The SUI/USDT chart, here’s a technical analysis and trading plan for potential long and short positions. The data indicates price movements, MACD, and moving averages.
Observations:
Current Price: SUI/USDT is at 3.3835, up by 6.49%.
MACD: Showing slight bearish divergence (MACD histogram below 0). However, the lines are converging, which could signal a possible bullish crossover soon.
MA60: The price is hovering around the 60-day moving average, which could act as resistance or support.
Volume: An increase in volume could confirm the direction of the next move.
Trend: Short-term fluctuation near the MA line indicates indecision.
Trading Strategy
Long Entry (Bullish Scenario):
Entry Point: Above 3.40, once confirmed by strong bullish candles with high volume.
Take Profit (TP):
First TP: 3.45 (short-term resistance).
Second TP: 3.55 (major resistance from recent swings).
Stop Loss (SL): 3.35 (below the MA60 support).
Trade Duration: 1–2 days for short-term targets or 3–5 days for a broader breakout.
Short Entry (Bearish Scenario):
Entry Point: Below 3.35, confirmed by bearish momentum and volume increase.
Take Profit (TP):
First TP: 3.30 (recent support zone).
Second TP: 3.20 (major support level).
Stop Loss (SL): 3.40 (above the MA60 resistance).
Trade Duration: 1–2 days for short-term targets or 3–5 days if the downtrend sustains.
Contingency Planning (Signals Going Against Position)
Plan A (Price Fluctuates Slightly):
If price retraces but holds near SL, wait for confirmation of reversal or continuation before closing.
Plan B (False Breakout):
If price breaks through SL but reverts quickly (fakeout), re-enter once the original trend is confirmed.
Plan C (Unexpected Reversal):
Close the trade if the opposite signal (bullish/bearish) is confirmed with high volume and strong candlestick patterns.
Plan D (Hedge Strategy):
Open a counter-position (short if long fails or vice versa) to minimize losses while maintaining exposure to potential market movement.