US100: Strong resistance sell setup on the 30-minute chart

📈 US100 — Technical Analysis: Sell Setup Near Strong Resistance

🔍 Technical Analysis:
• Currently, US100 price is approaching a significant resistance zone (highlighted in red). This area has acted as a strong ceiling in recent sessions, where sellers tend to emerge.
• The price has rallied back after a sharp decline but is showing signs of slowing momentum as it nears this resistance. This often leads to a rejection rather than a clean breakout, especially on a 30-minute timeframe.
• Below, the light blue zones represent key support levels, which could serve as realistic targets if sellers regain control. These zones are important areas where buyers previously stepped in, creating potential bounce points.
• The drawn dashed lines illustrate a possible price path: a test of the resistance level, failure to break higher, followed by a pullback and continuation of the downward trend.
• For confirmation of the sell setup, traders should look for reversal candlestick patterns such as rejection wicks (long upper shadows), bearish engulfing candles, or pin bars at the resistance zone. These signals help validate that sellers are gaining dominance.
• Volume and momentum indicators should also be monitored for divergence or weakening bullish pressure near resistance to strengthen the case for a sell.

📊 Trade Considerations:
• Entering a sell position should be done only after clear confirmation of price rejection at resistance.
• Setting a stop loss slightly above the resistance zone helps manage risk in case of a false breakout.
• Targets can be placed near the support zones (light blue areas), with partial profit-taking to lock gains while allowing some position to run if price reacts there.

📌 Summary:
The technical structure of US100 on the 30-minute chart suggests a high probability of price reversal from the strong resistance area. A cautious sell setup is favored, waiting for confirming price action signals to reduce risk. Proper risk management is essential to navigate potential volatility near this key level.

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Harry Andrew @ ZuperView