CLO is indeed experiencing a strong rally this time. The price has broken out strongly from the middle Bollinger Band to the upper band (0.7931), with a 24-hour increase of over 40%. The MACD has also crossed upward into a golden cross. From a technical perspective, it does look a bit overextended.

However, to be honest—RSI(6) has already soared to 91.12, indicating a seriously overbought condition. In this situation, chasing the high carries significant risk. Buying into a rally easily turns you into a bagholder.

If you insist on participating, I suggest the following approach: enter with a small position, with entry points around 0.8320-0.8330. Place your stop-loss at 0.7270 (below the middle band), and don’t be reluctant to do so. The target is near the extension of the previous high around 0.8500.

The key is whether the price can hold above the upper band. If it stays above, there’s room for further upward movement; but if it breaks below the upper band, don’t hesitate—there could be a quick pullback. Keep your position small and set strict stop-losses—remember these two points.