MSTU (T-Rex 2X Long MSTR Daily Target ETF) Long (Weekly Income)

MSTU just completed a clean 5-wave Elliott move to the downside, bottoming at a major Demand Zone between $3.84 – $3.42. That final leg (Wave 5) printed a strong reaction wick, hinting at exhaustion and a possible reversal. The structure shows a textbook impulsive bearish wave count from the July top, now possibly entering a new corrective phase (Bullish Wave).

We’re seeing the early stages of a trend reversal, setting up for a low-risk long with a juicy R:R setup.

📈 Trend & Breakout Analysis:

Macro Trend: Downtrend, but short-term reversal in play.

Breakout Catalyst: A break above $4.88 triggers 1:1 risk/reward setup, paving the path to test supply zones and prior wave resistance levels.

🧮 Elliott Wave Count:

📉 Wave (1) to (5) completed — now looking for a new wave to the upward.

🧲 Supply & Demand Zones:

Demand Zone: $3.84 – $3.42 ✅ Price bounced here

Supply Zones:

$5.62 – $5.94

$7.11 – $7.29

$8.14 – $8.58

$10.08 – $10.84

🎯 Trade Idea (LONG Setup):

Entry: $4.15 (current price)

Stop Loss: $3.42 (beneath demand zone)

Target Zones:

TP1: $4.88 (1:1 RR)

TP2: $5.62 (2:1 RR)

TP3: $6.37 (3:1 RR)

TP4: $7.29 (4:1 RR)

TP5: $8.58 (6:1 RR)

TP6: $10.08 (8:1 RR)

Risk/Reward: Up to 8:1 depending on how long the position is held.

🧷 Risk Management:

☂️ Max risk: 1-3% of trading capital
Use position sizing to cap your dollar risk. For example:

$10,000 capital → max loss per trade = $100–$300.

📈 Trade Management:

✅ Consider moving SL to breakeven once TP1 is hit (1:1)

🎯 Scale out at each TP or trail stops

🚫 If price breaks below demand zone ($3.42), invalidate the setup.

"Buy when there's blood in the streets, even if it's your own." – Baron Rothschild

⚠️ Disclaimer:

This is not financial advice. Trading leveraged ETFs involves significant risk and is not suitable for all investors. Do your own due diligence.

🏷️ Tags:

#MSTU #LongSetup #ElliottWave #RSIDivergence #DemandZone #TradingViewIdea #SwingTrade #CryptoStocks #LeveragedETF #MSTR #BTC #RiskManagement