ETHUSD - 10 Day Moving Average Makes or Breaks Ether
TL:DR - A bounce off of the 10 MA around $572 would keep the bullish impulse intact with target of $650. A break below the 10MA and we likely retest $500. My long from $568 is closed at $596.
This is the Eth:USD chart with 1 Day candles. It was a ruud surprise to wake up this morning and see price back below $600. I opened a long at $568 and have closed it today at $596 for an approximately 5% profit. I left open my long from $525 as I now intend to use it as a position trade (i.e. long term) otherwise I would close it for an about 12% gain.
I have slightly adjusted the red dotted downtrend line to reflect today's price action showing it as resistance. I am hopeful the bulls stay active at the 10 MA and this will act as support. A bounce off of the 10 MA at $572 and the bull impulse is still intact in my opinion. If we can stay above the 10 MA then I am still looking to $650 and perhaps the top of the triangle.
A break of $572 would likely take us back to the major support zone of the low $500s and a potential double bottom reversal or, worse, a further fall to the $447 support area.
Finally, and I will try to post this idea, if we hold above $572(ish) there is a potential inverse head and shoulders pattern on the 4 hour chart. This doesn't change anything it just strengthens my view that bouncing off of the 10 MA would be strongly bullish.
***This is not investing advice. I am not an investing professional. Do not invest what you cannot afford to lose. All investors should seek guidance from licensed financial advisers and not random people on the internet.***
This is the Eth:USD chart with 1 Day candles. It was a ruud surprise to wake up this morning and see price back below $600. I opened a long at $568 and have closed it today at $596 for an approximately 5% profit. I left open my long from $525 as I now intend to use it as a position trade (i.e. long term) otherwise I would close it for an about 12% gain.
I have slightly adjusted the red dotted downtrend line to reflect today's price action showing it as resistance. I am hopeful the bulls stay active at the 10 MA and this will act as support. A bounce off of the 10 MA at $572 and the bull impulse is still intact in my opinion. If we can stay above the 10 MA then I am still looking to $650 and perhaps the top of the triangle.
A break of $572 would likely take us back to the major support zone of the low $500s and a potential double bottom reversal or, worse, a further fall to the $447 support area.
Finally, and I will try to post this idea, if we hold above $572(ish) there is a potential inverse head and shoulders pattern on the 4 hour chart. This doesn't change anything it just strengthens my view that bouncing off of the 10 MA would be strongly bullish.
***This is not investing advice. I am not an investing professional. Do not invest what you cannot afford to lose. All investors should seek guidance from licensed financial advisers and not random people on the internet.***
Comment:
Comment:
On the 4 hour chart the right shoulder is finishing up. A break of the neckline at $623 should easily send us to $660+
So far the 10 MA has held. We need to break the $600 psychological resistance and dotted red downtrend line though...stay tuned.
So far the 10 MA has held. We need to break the $600 psychological resistance and dotted red downtrend line though...stay tuned.