Trade 6 - 9: Navigating Over and Under, 4-Hour Support, and a Weekly Level
Yesterday, BTC experienced a downward trend for most of the day. I attempted three long positions and eventually took a short position later in the day. Despite being on the wrong side of the daily trend, I managed to close the trades in profit (while the final trade remains open at this point). The trade details are provided below.
Trade 6: An Over and Under setup formed with three taps to the downside. I entered this trade prematurely (before the neckline break), prompted by a descending trendline break that provided a clear target and a favorable risk-reward setup. The trade went into a slight profit before continuing downward to hit my stop loss. The setup details can be seen below on a 5-minute timeframe. In this trade, I made the mistake of entering with an incorrect position size (much smaller than planned), which, in this case, turned out to be a fortunate mistake, as my loss was much smaller than it would have been with the correct position size.
Trade 7: My next trade was another long attempt based on a 4-hour chart support level, as seen in the image below:
The price touched the 4-hour support precisely, triggering a strong reaction. I entered a long position at the close of the 5-minute candle. Since I wasn't satisfied with the price action following my entry, I decided to manually close the trade for a small profit. See the trade details below.
Trade 8: A weekly level emerged at 27,573. The price approached this level and reacted instantly. I executed a long position at the close of the 5-minute candle. As the price formed a mini range and broke to the upside, only to quickly retreat back into the range, I closed the trade, expecting further downside. The details are provided in the image below.
Trade 9: This was my final trade yesterday, which remained open overnight (and is still open at the time of writing). See the image below for details.
I closed the previous trade because I anticipated more downward movement. There was no specific setup for this trade; it was based solely on my bias, which did not allow for an optimal entry point. As a result, I reduced my position size and initially set a larger stop (which I later tightened after the trade went into profit). Shortly after entering, the price dropped and crossed the weekly level, where it has been trading for some time. Currently, I still expect further downside, so I will keep this trade open for now.
To be continued.