2026-01-08 12:58:06

💎 Technical Analysis: Synthetix ( $SNX )

Market capitalization: $710 million.
The SNX chart is in a sideways channel, and the channel is narrow enough to use for breakout trading.

🟡 This is a classic situation of volatility compression before directional movement.

How to trade❔

💬 Buy on upward channel breakout. Set stop-loss behind the opposite channel boundary.

💬 Profit target – before the nearest resistance level above. Risk/reward ratio is very attractive.

💬 Sell on downward channel breakout. Stop-loss similarly behind the opposite channel boundary.

💬 Profit target – before the nearest support level below. Risk/reward ratio is also very good.

💬 Risk management: These trades are best managed by trailing the stop-loss as price moves, at a distance equal to two stop-losses.

💬 This will lock in profit during strong movement and protect against reversal.

Conclusion:
SNX offers an excellent opportunity for trading the narrow channel breakout with favorable risk/reward ratios in both directions. The key is waiting for a clear signal and properly managing the position.

📈 Open a trade with $SNX ‌🔗 Chat • X • JioCoinsX

SNX-1,47%

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.