The analysis focuses on a bearish market structure, revealing a strong downtrend characterized by a sharp price drop followed by a weak retracement known as a dead cat bounce. A short trade was initiated at 4599.310 due to insufficient buying support and clear downward momentum. The setup includes three critical levels: an upper stop loss at 4608.527, an entry point at 4599.310, and a lower take profit target at 4589.231. The current risk/reward ratio stands at approximately 1:1.1, indicating a narrowly balanced trade with slight profitability. The bearish outlook remains valid as long as prices stay below the stop loss.
Continue reading