【$EUL Signal】Long - Strong breakout on the 1H timeframe followed by a pullback, main force clearly supporting the market

$EUL After experiencing a massive rally, the 1H timeframe is currently in a healthy pullback and consolidation phase. The price has stabilized around 1.19, and the 1H EMA20 (1.081) has turned into a strong dynamic support. The 4H timeframe shows a perfect bullish alignment, with EMA20 (0.986) crossing above EMA50 (0.972) and opening upward, confirming the trend. Currently, the 1H RSI (74.17) is somewhat high but normal for a strong market, and the 4H RSI (77.57) indicates robust momentum over a larger cycle. Open interest (OI) remains stable after the price surge, with no signs of large-scale profit-taking, suggesting that main capital is still in the market. Market depth is balanced, with no significant imbalance.

🎯 Direction: Long (Long)

🎯 Entry/Order: 1.185 - 1.195 ( Reason: 1H candlestick pullback confirms the area, previous low support of the hourly candle )

🛑 Stop-loss: 1.155 ( Reason: Falling below the breakout point of the massive rally candlestick (07:00) may invalidate the trend )

🚀 Target 1: 1.255 ( Reason: Breaks previous high resistance, also the intraday high )

🚀 Target 2: 1.320 ( Reason: Based on 1.5 times ATR (0.088) extension level and psychological round number )

🛡️ Trading management:

- Position size suggestion: Standard position ( Reason: 4H and 1H trend resonance, risk-reward ratio >1.5, higher certainty )

- Execution strategy: After the price reaches Target 1 at 1.255, reduce position by 50%, and move the remaining stop-loss up to the entry price of 1.185 (break-even). If the price strongly breaks through 1.255 and stabilizes, hold the remaining position towards 1.32.

Depth logic: This is a typical “momentum breakout + pullback confirmation” pattern. Key evidence includes: 1) Continuous bullish candles on the 4H with volume, dominated by buyers; 2) No panic selling after the rally on the 1H, with a volume-contracted pullback, indicating healthy consolidation; 3) Funding rate is only 0.0038%, far below the dangerous overheat level (>0.1%), low risk of short squeeze, and a solid foundation for upward movement. Stable OI suggests this is not purely retail FOMO but supported by organized capital. The current pullback is an excellent second-entry opportunity.

Trade here 👇 $EUL

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