Technical analysis by finance_hossein about Symbol ENJ: Sell recommendation (4/19/2025)

The Enjin Coin (ENJ) is showing strong overbought signals on the hourly timeframe, presenting an attractive selling opportunity with a favorable risk-to-reward ratio.Technical Analysis:Current price: 0.0671 USDT with recent rejection at 0.0674 resistance levelRSI (14) reading: 65.00, showing momentum shift after reaching overbought territoryVolume profile: Trading volume of 447.81K shows significant activity but potential exhaustionMarket structure: Price formed a clear resistance zone between 0.0671-0.0685Key Observations:ENJ has formed a potential double top pattern with clear resistance at the 0.0674 levelThe price action shows signs of bullish exhaustion after the recent rally from 0.0630RSI indicator has been trending downward from overbought levels, suggesting diminishing buying pressurePrice is currently testing a key resistance zone with visible rejection wicks on the hourly candlesTrade Setup:Entry point: 0.0671 (current price) or on rejection from 0.0674 resistanceStop loss: 0.0685 (above recent swing high)Profit targets:Target 1: 0.0650 (previous support level) - 31% of positionTarget 2: 0.0630 (strong support zone) - 49% of positionTarget 3: 0.0619 (green zone support) - 20% of positionRisk Management:Maintain a risk exposure of maximum 2% of total capitalSuggested position size based on volatility: ~145 ENJRisk-to-reward ratio: 1:3.2 (excellent opportunity)Current market sentiment reflects fear (Fear & Greed Index: 32), creating conditions where retail traders may panic sell on the first signs of downward movement, accelerating our targets.Remember, proper risk management is crucial - stick to your exit strategy regardless of short-term price action