I’m watching $ENA as the recent rally begins to lose strength near a key resistance zone. Price moved up quickly in the last leg, but the structure is now showing signs of exhaustion. The upside push is becoming weaker and buyers are no longer driving price with the same momentum.
Right now the 0.108 – 0.11 area is acting as a strong resistance region. If price keeps rejecting this zone, it increases the probability of a pullback. When rallies slow down near resistance, it usually means buyers are taking profits while sellers start stepping in.
I’m looking for a short opportunity because the risk-to-reward becomes favorable if the resistance continues to hold.
Trade Setup
Entry Zone:
0.108 – 0.11
Stop Loss:
0.117
Target Points:
TP1: 0.099
TP2: 0.091
TP3: 0.083
I’m placing the stop above 0.117 because a move above that level would invalidate the bearish structure and show buyers regaining control.
Why this setup works
I’m targeting this trade because the rally is approaching a liquidity area where sellers often defend their positions. Momentum is fading, and the price action is becoming less aggressive on the upside. If the resistance zone keeps rejecting price, the market usually rotates back toward lower support levels where liquidity sits.
A rejection from the entry zone can trigger selling pressure, and once price drops below the recent structure, it can accelerate toward the lower targets.