General technical analysis $AVAX
Long-term trend (1D, 1W): AVAX is in a long-term downtrend. The price is below important EMA lines (EMA 50, EMA 100). However, on the 1-day (1D) and 1-week (1W) frames, the RSI is in the oversold zone or at a low level, indicating that selling pressure has weakened and a technical rebound may occur.
Medium and short-term trend (1H, 4H): There was a strong increase from the $8.17 zone to $9.84. Currently, the price is adjusting (sideway down) to accumulate.
Short-term frame (5m, 15m): The price is moving sideways around the $9.48 zone. The MACD is showing signs of narrowing the negative gap, and the RSI is slightly recovering from the bottom zone.
Trading Plan
Based on the current structure, the LONG (Buy) order offers a better RR (Risk/Reward) ratio as we are catching a rebound after a long-term deep drop.
Strategy: Buy the Dip
Position: LONG AVAX/USDT
Entry zone: $9.35 - $9.45 (Divide capital into 2 orders in this zone).
Recommended leverage: x5 - x10 (Maximum x20 if you manage capital well).
Take Profit:
TP1: $9.84 (Previous short-term peak).
TP2: $10.50 (Psychological resistance zone and EMA50 on the 1D frame).
TP3: $11.20 (Further target for the rebound).
Stop Loss: $9.05 (Below the nearest strong support level).
RR ratio: About 1:2.5 to 1:4 depending on the take profit point.
Important note from the expert
Capital management: Only use 2-5% of total assets for a Future position to ensure account safety.
Noise signals: Smaller time frames (5m, 15m) are showing hesitation. If the price closes the 1H candle below $9.30 decisively, consider closing the position early as the downtrend may continue towards the $8.4 zone.