$BNX #Binance #WritetoEarn #Everyone #Followers ### Chart Analysis for BNX/USDT (4H Time Frame)
#### 1. **Trend Analysis:**
- **Current Trend**: The price is in an **uptrend**. This is evident from the series of higher highs and higher lows, along with the moving averages (MA7, MA25, MA99) sloping upwards.
- **Key Observation**: The price has broken out above previous resistance at 1.6588, confirming strong bullish momentum.
#### 2. **Support and Resistance Levels**:
- **Support Levels**:
- Immediate support at **1.563** (MA7 line).
- Strong support at **1.494** (MA25 line).
- Longer-term support at **1.3245** (MA99 line).
- **Resistance Levels**:
- Nearest resistance is at **1.6588**, where the price previously touched but could see potential pullbacks.
- Further resistance at **1.750** if the price continues higher.
#### 3. **Japanese Candlestick Analysis**:
- The most recent candlesticks show long-bodied green candles with minor wicks, indicating a continuation of the bullish trend.
- **Conclusion**: The price is strongly bullish, but itâs approaching overbought conditions.
#### 4. **Indicator Analysis**:
- **MACD**: The MACD is showing a bullish crossover, with the MACD line above the signal line, confirming bullish momentum.
- **RSI**: The RSI is at **82.73**, indicating that the asset is in the **overbought zone**. This suggests a potential correction or pullback could happen soon.
- **Volume**: There was a significant increase in volume during the upward movement, which suggests strong interest. However, the volume has slightly declined, which means momentum might slow down.
#### 5. **Wave Analysis**:
- Based on the chart structure, we could be in the 3rd impulsive wave (Elliott Wave Theory), typically the strongest upward move. A pullback or correction could happen soon before another potential leg up.
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### **Trade Plan:**
#### **Position Size**:
- Since you have **$10** to invest, I would suggest a risk-controlled approach by using **2x leverage**. This means:
- **Total Position Size**: $20.
- **Entry Price**: I would recommend entering at a slightly lower price due to the current overbought RSI, possibly around **1.600** if the price pulls back to this level.
#### **Entry Strategy**:
- **Long Position**: Enter a long position at **1.600** on a minor pullback.
- **Stop-Loss (SL)**: Place a stop-loss at **1.494** (below the MA25 line). This is a safe point since it's a strong support.
- **Take Profit (TP)**:
- Target **1.750** for your take profit. This is near the next resistance level and should give you a solid profit.
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### **Investment Plan and Strategy if the Trade Goes Against You**:
#### **Scenario 1**: Price Moves as Expected
- If the price moves up as expected, hold the position until **1.750**.
- At **1.700**, consider trailing your stop-loss higher to secure some profits. Move your stop-loss to **1.600** (your entry) to ensure you break even even if the price reverses.
#### **Scenario 2**: Price Drops After Entry
- If the price goes below **1.563** (MA7), **consider partially closing the position** (50%) to minimize loss.
- If the price breaks below **1.494** (your stop-loss), close the trade completely as it may indicate a trend reversal.
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### **Risk Management**:
- **Leverage**: Use **2x leverage** to increase exposure to the market while keeping risk manageable.
- **Total Capital at Risk**: With a stop-loss at **1.494**, your potential loss would be **~6.625%** (from 1.600 to 1.494), meaning you risk approximately **$1.32** on this trade.
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### **Summary**:
- **Entry**: **1.600** (on pullback).
- **Stop-Loss**: **1.494** (below MA25).
- **Take Profit**: **1.750**.
- **Position Size**: $20 (using 2x leverage).
- **Risk Management**: Close part of the position if the price breaks **1.563** or fully if it hits **1.494**.
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### đ **Trading Recommendation**:
Go **long** at **1.600** with **2x leverage**. Place stop-loss at **1.494** and take-profit at **1.750**.