$SQD Strategy Used: Bollinger Band Rejection + RSI Divergence & Supertrend Flip Strategy
Timeframe Focus: 4H for trend context, 1H/15M for entry precision
Market Psychology: FOMO-driven pump (+39%), but overbought signals & negative funding rates indicate exhaustion. Smart money is likely taking profits.
---
ENTRY ZONE:
0.05750 – 0.05850
(Wait for rejection from Upper Bollinger Band (4H UP: ~0.05672–0.05931) and RSI(14) >70 on lower timeframe)
---
TAKE PROFIT (TP) LEVELS:
· TP1: 0.05400 (EMA(15) & Mid Bollinger Band Support)
· TP2: 0.05100 (EMA(50) & Previous Swing Low)
· TP3: 0.04800 (Strong Support Zone & Lower Bollinger Band)
---
STOP LOSS (SL):
0.06050
(Above 4H High ~0.05951 + Buffer, and above Supertrend(10,3) level)
---
RISK-REWARD RATIO:
· Risk: 0.0020 (from entry 0.0585 to SL 0.0605)
· Reward (to TP3): 0.0105
· RRR: 1:5.25
---
LEVERAGE: 50x
· Position Size: Use only 1–2% of capital.
· Liquidation Warning: Keep SL tight; 50x leverage means high risk.
---
MARKET PSYCHOLOGY CONTEXT:
1. FOMO Peak: Price up 39%+, RSI(14) on 4H is 73 (overbought).
2. Negative Funding Rates: Longs paying shorts (-0.15320% to -0.57522%), indicating bearish sentiment.
3. Order Book Imbalance: 52.25% Asks vs 47.75% Bids – selling pressure near 0.058–0.059.
4. Smart Money Clues: Large sell walls at 0.058–0.062 (order book).
5. Higher Timeframe Resistance: 4H Bollinger Upper Band and previous highs acting as resistance.
---
STRATEGY RATIONALE:
· Bollinger Band (20,2) on 4H shows price touching upper band – classic mean reversion signal.
· RSI(14) >70 on 4H indicates overbought conditions.
· Supertrend(10,3) on 1H is at 0.05484 – a break below could confirm downtrend.
· MACD Bearish Divergence on 4H (DIF negative, DEA negative).
· EMA Alignment: EMA(9) > EMA(15) but losing momentum; potential bearish crossover.
---
EXECUTION PLAN:
1. Wait for 1H or 15M candle to close bearish after touching 0.0580–0.0590.
2. Confirm RSI(14) >70 and start turning down.
3. Enter short with 50x leverage, SL at 0.0605.
4. Scale out: TP1 (30%), TP2 (40%), TP3 (30%).
5. If price breaks above 0.0600, re-evaluate.
---
WARNING:
· High leverage can liquidate quickly if trend reverses.
· Monitor funding rates: if they turn positive, consider early exit.
· Do not risk more than 2% per trade.
--
#SQDUSDT #ShortTrade #CryptoStrategy y #BollingerBands #MeanReversion #LeverageTrading #MarketPsychology #BinanceSquare
Note: This is a counter-trend short setup based on overbought signals. If the bullish trend resumes strongly, this trade may stop out. Always use strict risk management.
