Trade Setup 25 Jan 2024

Bearish View on BTCUSDT

Welcome to Daily Trade Setups.

Trade:

• Sell 41400 Call option of 27 January expiry @ $130
• Buy 41800 Call option of 27 January expiry @ $80

Stop Loss: Spot level = $41400

Target: Premium = $0 in both legs

Payoff chart at Expiry:

• Max Profit: $50/BTC

Rationale:

The most recent movement in BTC suggests a potential temporary halt in the upward momentum, with noticeable retracements in play. Moreover, a recently established supply zone/resistance has been pinpointed on the charts.

For risk management, we recommend setting a stop loss at 40500 to invalidate the aforementioned setup.

Disclaimer: This report must not be used as a singular basis of any trading decision. Please refer to https://www.delta.exchange/research-disclaimer for analyst disclaimer and other disclosures.