FARMUSDT is displaying a bullish divergence on the 4-hour (4H) timeframe, indicating a potential shift in momentum. Furthermore, it has broken its lower high and established its first higher high along with a higher low, suggesting bullish strength.
Here's a concise technical analysis with a suggested trading strategy:
Entry: Consider entering a long position at the current market price of $41.40.
Stop Loss (SL): Place a stop loss order at $38.46 to manage risk and limit potential losses.
Take Profit (TP): Set multiple take-profit levels to capture potential gains:
TP1: $41.40 to achieve a 1:1 risk-reward ratio.
TP2: $45.80 to achieve a 1:2 risk-reward ratio.
TP3: $50.20 to achieve a 1:3 risk-reward ratio.
This trading strategy anticipates a continuation of the bullish trend based on the observed bullish divergence and the formation of higher highs and higher lows. However, it's essential to monitor the price action closely and adjust the strategy as needed to adapt to changing market conditions.
Here's a concise technical analysis with a suggested trading strategy:
Entry: Consider entering a long position at the current market price of $41.40.
Stop Loss (SL): Place a stop loss order at $38.46 to manage risk and limit potential losses.
Take Profit (TP): Set multiple take-profit levels to capture potential gains:
TP1: $41.40 to achieve a 1:1 risk-reward ratio.
TP2: $45.80 to achieve a 1:2 risk-reward ratio.
TP3: $50.20 to achieve a 1:3 risk-reward ratio.
This trading strategy anticipates a continuation of the bullish trend based on the observed bullish divergence and the formation of higher highs and higher lows. However, it's essential to monitor the price action closely and adjust the strategy as needed to adapt to changing market conditions.