The market is signalling a potential downside rotation after tapping into a premium pricing zone. Price has reacted inside a clear rejection block sitting at the upper boundary of the recent rally, showing early signs of supply taking control.
From an execution standpoint, this region represents an attractive shorting opportunity as liquidity has likely been engineered above the prior high. Once that sweep was completed, we saw price struggle to maintain bullish momentum an early indicator of possible distribution.
The current short position is aligned with a corrective move back into discounted territory. If momentum holds, structure suggests a continuation towards the previous 4H demand area, where we expect buyers to potentially step back in. Risk parameters remain intact above the engineered high, ensuring optimal downside exposure while maintaining disciplined capital protection.
This setup reflects a textbook scenario of waiting for price to enter a premium zone before taking action—maximising reward efficiency while protecting the downside.
From an execution standpoint, this region represents an attractive shorting opportunity as liquidity has likely been engineered above the prior high. Once that sweep was completed, we saw price struggle to maintain bullish momentum an early indicator of possible distribution.
The current short position is aligned with a corrective move back into discounted territory. If momentum holds, structure suggests a continuation towards the previous 4H demand area, where we expect buyers to potentially step back in. Risk parameters remain intact above the engineered high, ensuring optimal downside exposure while maintaining disciplined capital protection.
This setup reflects a textbook scenario of waiting for price to enter a premium zone before taking action—maximising reward efficiency while protecting the downside.
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Declinazione di responsabilità
Le informazioni e le pubblicazioni non sono intese come, e non costituiscono, consulenza o raccomandazioni finanziarie, di investimento, di trading o di altro tipo fornite o approvate da TradingView. Per ulteriori informazioni, consultare i Termini di utilizzo.