📉 Double Top Pattern – Short Trade Setup ($CYS USDT | 1D)
The chart is forming a clear Double Top pattern, which is a classic bearish reversal signal after an uptrend.
🔍 Pattern Breakdown
Price tested the same resistance zone around 0.56 twice
Both attempts were rejected, showing strong selling pressure
The pullback between the two tops forms the neckline
Failure to break resistance indicates buyer exhaustion
📊 Technical Confluence
Second top shows weaker momentum
RSI near overbought, hinting at a possible pullback
Price struggling to hold above key EMAs
Rejection wicks confirm sellers’ presence at the top
🔴 Short Trade Plan (Confirmation-Based)
Entry:
Short after a strong close below the neckline (4H or Daily)
Stop Loss:
Above the second top / resistance zone
Invalidation level: Above 0.56 – 0.57
Targets:
TP1: Nearest support zone
TP2: Major demand area
Risk–Reward: Minimum 1:2
⚠️ Invalidation
A strong breakout and close above 0.56 will invalidate the Double Top
Avoid early entries without confirmation
🧠 Trading Tip
The Double Top works best when:
Resistance is clearly defined
The neckline breaks with volume
You follow strict risk management
📌 Trend reversals don’t happen instantly — wait for confirmation, then execute the short.