The RSPT ETF (or as alternative), known for its equal-weight technology holdings, may not always be the most thrilling ticker on the market, often appearing stagnant in percentage movements. However, there’s more beneath the surface for savvy traders who understand how to leverage reward-to-risk ratios.For those willing to take a closer look, RSPT offers an enticing trade setup. By setting your entry on a breakout above yesterday’s high, you position yourself for significant upside potential. The beauty of this strategy lies in its precision. A tight stop loss can be placed just below yesterday’s low, minimizing your risk exposure.
In fact, this approach can yield a reward-to-risk ratio exceeding 4:1, meaning the potential rewards far outweigh the risks. If you’re particularly cautious, even accounting for any gaps can squeeze the stop loss further, enhancing the risk management to around 1.5.The hourly chart reveals a compelling coiling structure, highlighted by a first-bar spike followed by an indecisive bar. This pattern offers a robust entry point for those looking to capitalize on the ETF’s next move.
Trading plan Video for RSPT ETF
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