Shocking Market Move Revealed! Will Prices Soar or Crash?

1. Market Context
Timeframe: The chart covers late June to early July 2025, with daily candlesticks showing recent price action.
Trend: The price has been in an uptrend, breaking resistance around 6,180.00 and testing 6,290.00-6,300.00. This suggests bullish momentum, but the move is nearing a key resistance zone.
2. Key Levels
Support: 6,180.00-6,200.00, where prior consolidation and moving averages align, offering a potential entry or stop-loss zone.
Resistance: 6,300.00 is a critical level. A break above could target 6,350.00, while failure might lead to a reversal.
Stop Loss: Place below support (e.g., 6,170.00) to protect against a breakdown, adjusting for your risk tolerance.
Take Profit: Aim for 6,350.00 if bullish, or scale out at 6,290.00 if you expect resistance to hold.
3. Technical Indicators
Candlestick Patterns: Recent green candles indicate buying pressure, but watch for reversal signals (e.g., doji or shooting star) near 6,300.00.
Volume: At 77.04K, it’s moderate. A surge on a breakout would confirm strength; a drop might signal exhaustion.
Moving Averages: The chart shows multiple MAs (e.g., 50-day, 200-day). If the price is above them, it supports the bullish case; a cross below could indicate a shift.
4. Trade Plan
Entry: Consider entering long near 6,290.00 if the price consolidates or breaks 6,300.00 with volume confirmation.
Risk-Reward Ratio: Aim for at least 1:2 (e.g., risk 20 points to gain 40 points toward 6,350.00).
Position Sizing: Calculate based on your account size and risk per trade (e.g., 1-2% of capital).
Exit Strategy: Take partial profits at 6,320.00 and let the rest ride with a trailing stop, or exit fully if resistance holds.
5. Risk Management
Volatility: The range (6,120.00-6,300.00) suggests moderate volatility. Adjust position size accordingly.
News/Event Risk: Check for upcoming economic data or earnings that could impact the instrument.
6. Scenario Analysis
Bullish Case: Break above 6,300.00 with strong volume could push to 6,350.00+. Monitor for follow-through.
Bearish Case: Rejection at 6,300.00 with a red candle might drop to 6,180.00. Prepare to cut losses quickly.