LINK · 1H · DOWNTREND
The short from my October 21 read triggered cleanly — the 12.70 confirmation closed on October 21, Target 1 at 11.94 and Target 2 at 11.38 both hit, and that move is fully completed. That's two consecutive successful short reads on LINK, and the structure that drove them hasn't changed: the daily trend is still printing lower highs and lower lows, and price is now sitting at 10.731 after a sharp flush through the 10.800 area visible at the right edge of the chart. The move here has been relentless — from 14.00 at the left edge of this window all the way down to 10.273 as the recent low, with every rally attempt capped at a lower high. I'm not chasing this short from the current print. Price is extended below any sensible entry, liquidation clusters are stacked dense at 10.46, 10.16, and 9.94 below — meaning a lot of fuel has already been spent — and after a move of this magnitude I need to see where price actually stabilizes before I can frame a fresh entry with real R/R.
The honest read here is that I'm waiting for a relief bounce. Price has hammered through multiple liquidation clusters on the way down and is sitting near the low of the visible range. A bounce into the 11.00–11.33 area is structurally likely, and that's exactly where I'd want to frame a re-entry short — not down here with the move already spent and dense clusters already swept below me.
SHORT SCENARIO
Confirmation
11.00
On a rally into the 11.00–11.33 zone, a 1H close back below 11.00 confirms rejection and bearish continuation — the 11.33 dense liquidation cluster above is the ceiling, the close back below 11.00 is the signal.
Invalidation
11.33
Structure invalidated above 11.33 — a 1H close through the dense liquidation cluster above breaks the rejection thesis and implies a larger squeeze is underway.
Target 1
10.46
Dense liquidation cluster directly below; primary magnet and where I'd look to reduce.
Target 2
10.16
Next dense cluster below; full leg if selling pressure holds.
Risk/Reward
(11.00 − 10.46) / (11.33 − 11.00) = 0.54 / 0.33 = 1.6:1
Resistance: 11.33 (dense liquidation cluster) / 11.80
Support: 10.46 (dense liquidation) / 10.16 (dense liquidation)
This is not financial advice. Content is AI-generated.