Arbitrum - August trade

14 ago 2024

Current price action

Since august 5 arbitrum made an new all time low
Series of higher lows and higher high since that bottom
Consolidating under 0.5 Fib retracement wich currently act as resistance

Momentum indicator

Personal indicator wich gives buy or sell signal based on 2 day timeframe momentum
The average price act as support in the direction of the giving signal
Dynamic stoploss acts as an trailing stoploss wich follow the average price

Buy signal confirmed this morning

Trade

Entry

Market price(0.5820), Average price (0.5651) or wick trough dynamic stoploss (0.5539)
Break above the 0.5 Fib retracement (0.5959)

Risk

Last higher low (0.5451)

Take profit

Monthly level (0.6574) and 20D level (0.7476)

14 ago 2024

Nota

Overview 2D chart and signals

this strategy profibality depends on the duration of the trend in one direction
False signals and small bounces is the cost of trading in this strategy

15 ago 2024

Nota

3 orders filled
Entry on market price (0,5820) RR = 4,49
Entry on average price (0,5651) RR = 9,12
Entry on dynamic stoploss (0,5539) RR = 22,05

16 ago 2024

Nota

stoplosses hit yesterday, price now returning to te last higher low area
If this area holds as resistance, arbitrum could pullback to the 50 cent area