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$SKY 3h Price Chart Analysis: | - At this moment, price is pressing into a strong resistance/supply zone, and the most recent swing high is being tested. If there's a fakeout or liquidity hunt above 0.07869 with a swift rejection, I expect a retracement toward 0.07505 and 0.07327. A short entry would be valid after confirmation, aiming for those targets, with the stop-loss above the swing high from where the rejection begins.
- If price instead pulls back to the 0.07505 area and forms a bullish reversal pattern (such as a pin bar, bullish engulfing, or a break of lower timeframe structure), this is a great opportunity for a long entry targeting 0.08000 and 0.08178, with a stop at the swing low of the pullback.
- A clear break and close above 0.08000 with strong momentum would flip my bias to bullish continuation, aiming for 0.08178 and possibly 0.08500.
- Watch for these scenarios and wait for confirmation on lower timeframes before entering. For example, on a rejection at resistance, look for a reversal pin bar or bearish engulfing. On a pullback, look for a bullish engulfing or a clear sign of demand stepping in.
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