[Christian Harris]

Here’s a potential Binance Coin (BNB) trade setup to demonstrate using one of my favourite technical analysis tools, Fibonacci retracement.

Trade Setup

• 1-week timeframe for a swing trade
• Price hit 0.618 Fibonacci retracement level
• I’m bullish on BNB, so I entered a long (buy) position
• I set my take profit at 0.382 Fibonacci level
• I set my stop loss at 1 Fibonacci level
• I am risking 27.25% to make 16.84%

Advanced Risk Management

• I could adjust my stop-loss as the trade moves in my favour.

Alternative Trade Setup

I could enter multiple long positions to target multiple Fibonacci levels, but this would increase my risk. As a conservative trader, I prefer to enter only one position per price level in case my analysis is wrong.

Disclaimer: This example is for informational and educational purposes only and should not be considered financial advice or a recommendation to buy or sell any security. Trading involves significant risk, and past performance does not guarantee future results. Conduct your own research and consult with a financial professional. The information discussed here is personal to the author and may not be suitable for all traders.

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Topic

[BTC Ben]

Nice one for sharing this.

If bitcoin or other big tokens are in a downtrend, is it possible that BNB might struggle to hold its Fibonacci support levels, making this setup riskier?

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[Christian Harris]

Great question! 🧐 If Bitcoin and major alts are tanking, BNB could definitely struggle to hold those Fib levels—altcoins often get dragged down harder in broader market sell-offs. The Fib supports are key, but they’re not bulletproof if the overall crypto fear is spiking.

If you’re trading with leverage, it’s vital to set stops. If you’ve invested in the ‘real’ coin, less so.

And keep an eye on BTC’s next move—if it stabilises, BNB might bounce, but if not… buckle up! 🚨 What’s your read on the current BTC trend? 📉

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[BTC Ben]

Yeah, I’ve been watching BTC closely as you probably know lol.

The decline appears to be part of a larger correction. But I dunno because even with this short term dip, BTC’s price is still up over 10% in the past year.

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[Williams]

I find it very valuable to see the thinking here. I thank you for sharing it.

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[Author]

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