On the daily timeframe, PEPEUSDT is currently positioned within a broader bearish structure, following a rejection from recent highs and a clear shift in momentum. The market has transitioned from expansion to a corrective phase, with price consolidating near the lows — a typical behavior before continuation.
The chart highlights a potential retracement into a Fair Value Gap (FVG) located around the equilibrium (0.5) level. This zone represents an inefficiency created during the prior bearish displacement and often acts as a key area where smart money re-enters the market. Given the current structure, this retracement is likely to be corrective rather than a full reversal.
Price action leading into this zone shows decreasing bullish strength, with smaller candles and lack of strong displacement upward. This suggests that buyers are not in control, and the market may be preparing for another move lower.
From an ICT perspective, this setup reflects a classic continuation model: price seeks to rebalance the inefficiency (FVG) before targeting liquidity below. The equal lows and recent swing lows form a clear Sell-Side Liquidity (SSL) pool, which becomes the primary draw on price.
A short setup becomes favorable if price retraces into the FVG and shows rejection, ideally confirmed by a lower timeframe Change of Character (CHoCH) or internal Break of Structure (BOS).
Targets lie below the current range, aiming for a sweep of SSL and continuation into deeper discount levels.
Invalidation would be a strong bullish breakout above the FVG, reclaiming equilibrium and shifting the short-term structure.
This is not financial advice. Trade carefully and manage risk.
The chart highlights a potential retracement into a Fair Value Gap (FVG) located around the equilibrium (0.5) level. This zone represents an inefficiency created during the prior bearish displacement and often acts as a key area where smart money re-enters the market. Given the current structure, this retracement is likely to be corrective rather than a full reversal.
Price action leading into this zone shows decreasing bullish strength, with smaller candles and lack of strong displacement upward. This suggests that buyers are not in control, and the market may be preparing for another move lower.
From an ICT perspective, this setup reflects a classic continuation model: price seeks to rebalance the inefficiency (FVG) before targeting liquidity below. The equal lows and recent swing lows form a clear Sell-Side Liquidity (SSL) pool, which becomes the primary draw on price.
A short setup becomes favorable if price retraces into the FVG and shows rejection, ideally confirmed by a lower timeframe Change of Character (CHoCH) or internal Break of Structure (BOS).
Targets lie below the current range, aiming for a sweep of SSL and continuation into deeper discount levels.
Invalidation would be a strong bullish breakout above the FVG, reclaiming equilibrium and shifting the short-term structure.
This is not financial advice. Trade carefully and manage risk.
Aviso legal
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Aviso legal
As informações e publicações não se destinam a ser, e não constituem, conselhos ou recomendações financeiras, de investimento, comerciais ou de outro tipo fornecidos ou endossados pela TradingView. Leia mais nos Termos de Uso.