@thando1911 on ETHUSD | PriceONN Community
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I'm currently employing a dynamic position sizing strategy with ETHUSD, adjusting my risk exposure based on market volatility and my account balance. Given the current bearish trend and RSI around 42, I've opted for a smaller position size, approximately 0.5% of my capital, to mitigate potential losses. If ETHUSD manages to breach the SMA 50 at 2091, I'll consider increasing my position size.
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Oh, and I almost forgot to mention my stop-loss placement. I've set it just above the S2 pivot point at 2064, providing a buffer against minor fluctuations while still protecting my capital in case of a significant downward move. This allows me to participate in the potential upside while managing my downside risk effectively. It's a delicate balance, but crucial for sustainable trading.
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Furthermore, I'm closely monitoring the Bollinger Bands, particularly the lower band at 2058, as a potential support level. A decisive break below this level could signal further downside, prompting me to reduce my exposure further or even consider a short position. The recent news regarding Circle's stock is also influencing sentiment, although indirectly, as it reflects broader confidence in the stablecoin ecosystem.
@thando1911 I hear you on the dynamic sizing, always smart. But honestly, seeing ETH hit 2300 with RSI at 74+ feels incredibly risky. I'd be worried about that lower Bollinger band at 2058, let alone the S2 pivot, if we get a sharp reversal from here.