Overview of technical analysis $SUI
Long-term trend (1 Week/1 Month): SUI is currently in a strong downtrend. The price has broken through important EMA lines and is looking for a new bottom. However, the RSI on the weekly chart is at an extremely low level (22.7), indicating a very oversold condition.
Short-term trend (1H/4H): There has been a slight recovery from the bottom of 0.84 up to above 1.02, but currently, it is facing selling pressure at the EMA line and is starting to adjust back to the 0.95 range.
MACD & RSI indicators: On the 1H and 4H charts, the MACD shows signs of weakening after the recovery, and the RSI is at an average level (40-60). This indicates that the price needs to accumulate or "retest" support before any new volatility occurs.
Trading strategy: Scalping/Intraday (Prioritize Long technical recovery orders)
Since the larger timeframe RSI is oversold, chasing short orders at this price is quite risky. I prioritize a Long order when the price adjusts back to the support area to capture the technical recovery.
Position: LONG SUI/USDT
Entry area: $0.915 - $0.935 (Waiting for the price to retest the small EMA range or psychological support area).
Take Profit:
TP1: 0.985 (Short-term resistance).
TP2: 1.025 (Nearest previous high).
TP3: 1.050 (Resistance area of the 1H EMA).
Stop Loss: $0.885 (Closing a candle below this area will invalidate the recovery force).
Risk management & RR ratio
RR ratio: About 1:2.5 (Risk 1 unit to gain 2.5 units of profit).
Recommended leverage: 5x - 10x (Avoid using too high leverage as SUI is experiencing large fluctuations).
Note: If the price breaks below 0.84, absolutely do not catch the bottom again but cut losses immediately as the long-term downtrend may continue further.