【$ENSO Signal】Short squeeze continues, 1H pullback confirmation followed by a second surge

$ENSO The 1H timeframe has experienced a massive rally and is now at the end of a high-level flag formation consolidation, with prices trading strongly within the 1.61-1.66 range. The 4H timeframe shows a strong pullback after a volume breakout, with EMA20 (1.454) providing dynamic support. The key points are: negative funding rate (-0.1231%) + stable OI + price rejection of deep correction — this is a typical short squeeze structure, with clear main force support intentions, waiting for the 1H consolidation to complete before a second upward move.

🎯Direction: Long (Long)

🎯Entry/Order: 1.620 - 1.625 (Reason: The EMA20 dynamic support zone on the 1H timeframe, also the upper boundary of the current dense trading zone )

🛑Stop loss: 1.585 (Reason: Falling below the previous 1H candlestick low and the lower edge of the consolidation platform invalidates the short squeeze logic )

🚀Target 1: 1.715 (Reason: Previous high resistance, also the initial target for the breakout of the 1H flag formation )

🚀Target 2: 1.850 (Reason: Based on the recent upward wave Fibonacci extension at 1.618 )

🛡️Trade management:

- Position suggestion: Light position (Reason: The daily increase has exceeded 30%, volatility is extremely high, risks and opportunities coexist )

- Execution strategy: After reaching 1.715, reduce position by 50% to lock in profits, and move the remaining stop loss up to the entry price of 1.625 (break-even). If the price cannot hold above 1.66 and weakens, consider exiting early.

Deep logic: Market logic indicates “price rising, combined with position volume,” while OI remains stable after the sharp price increase, not showing significant profit-taking, indicating that longs are still holding positions. Order book depth shows sell orders stacking above 1.6125, but buy orders are more concentrated and thicker in the 1.61-1.611 range, forming a support cushion. The 1H RSI (75.98) is high but not in extreme overbought territory; in a strong short squeeze environment, there is still room for upward movement. The core driver is the short covering pressure under negative funding rates; as long as the price does not break below the key platform, the short squeeze momentum will persist.

View real-time quotes 👇 $ENSO

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