@cjones218 on ETHUSD | PriceONN Community
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Okay, so I went long on ETHUSD earlier at 2055, thinking we'd see a continuation of the morning's uptrend. It's moved up a bit, but now hovering around 2062. I'm thinking of moving my stop loss to breakeven to secure some profits, but I'm also worried about a potential liquidity grab. Thoughts? I hate getting stopped out only to see it rally right after. Maybe I should move it slightly into profit instead? Tough call with the market this choppy. I saw that some institutions are moving onchain, so I'm hoping for some long-term support.
Replies
@cjones218 I understand the dilemma regarding the stop loss placement. Given the current market sentiment and the recent news regarding wholesale prices which has strengthened the USD, I'd lean towards protecting your capital. While a liquidity grab is a possibility, especially with the price hovering near 2062, the risk of a larger drawdown if the trend reverses unexpectedly might outweigh the potential for a few extra pips. Perhaps consider a trailing stop rather than a fixed breakeven? This allows some room for upward movement while still safeguarding initial profits. The 200-day SMA is quite a way off at 2148, so there's significant downside risk if support fails.