We have a potentially great short setup because:
- The price is moving sideways (it’s pretty much at the same level), while the RSI Exhaustion is going down. It means that we have divergence and the current price level is not sustainable.
- The RSI Exhaustion is bullish exhausted (colored green), which means that, considering the overall setup, the price doesn’t have too much room to move higher.
- We have a confirmed top, which is a sell signal
We just need to pay attention to the fact that the price is currently above a support level, but it looks rather weak because it started as a resistance and, moreover, it was previously an even higher resistance. This means that the price is actually getting pushed down.
The target will be all the way down to the major support level at the bottom of our TradingView chart.
The setup is clear and the trade is a high probability trade.
If we got it right than the return is going to be 6x so we must remember to stay rational throughout the whole trade because it might get long, considering the big target.