Smart money is driving $SIGN into a premium trap before dumping on late retail buyers.
I am looking at the order flow for $SIGN and noticed a clear trap being set right now. The big accounts are currently holding heavy long positions, totaling over 540 thousand dollars. They entered lower around the 0.0129 level and are sitting in nice profit as the price pushes above 0.0131. Because the market is up over 11 percent today, retail traders are getting greedy and buying in late. However, smart money will not hold these longs forever. They are simply waiting for enough late buyers to build liquidity so they can sell and take their big profits off the table. When these large players start to exit, the heavy selling pressure will push the price back down to target the stops and liquidity resting below. My trade plan is to wait for the price to reach a premium supply zone to catch this drop. I want to trade this reversal and take a short position alongside the big players as they exit, keeping my risk strictly managed.
Trade Plan
Entry: 0.013300
Stop Loss: 0.013500
Take Profit 1: 0.013100
Take Profit 2: 0.012900