The 4-hour chart trend looks bearish, having encountered strong rejection in the supply zone from a high point of 0.5098, the price has broken the previous ascending structure. Currently, the price is consolidating below the key resistance level of 0.4402, showing signs of weak upward momentum.
**Trigger Conditions:** On the 1-hour time frame, the RSI is likely to be hindered from rebounding towards the 50 level, indicating that bullish momentum is waning. The price has also failed to rise above the key short-term EMA lines (such as EMA21/55), which have turned into dynamic resistance. This weakening of momentum provides us with a high-probability short entry signal.
**Trading Logic:** The current entry logic is to follow the newly formed downtrend, shorting after the price fails to rebound to the resistance zone. This is a typical “rebound short” strategy, with a favorable risk/reward ratio; the stop-loss can be clearly set above the 0.4402 resistance zone.
**Executable Trade Setup (Short)**
Entry: Market 0.4189
Take Profit 1: 0.4030
Take Profit 2: 0.3710
Take Profit 3: 0.3500
Stop Loss: 0.4455
$YALA
