ETHUSD providing another nice spot to short
ETHUSD bouncing here - I don't think it gets to 300; 290s look like a good spot to short for now. Coinbase was down around 6-7 PM EST, which seemed to have some widespread effects in a handful of the coins, most of which have bounced back by now. Will be following this hourly chart for an entry short based on the following TA thesis below in the 4 hour chart.
Bear flags have been getting shorter as highlighted in the chart and the candles have been consistently staying under the shown (E)MAs. We tested pretty strong support at 250 and bounced hard unsurprisingly, heading to 280s. However, ETHUSD is now going into a pretty significant overhead resistance at 290s, with 300 being a strong psychological level. One where you might expect people to exit after recouping the 50 swing below to preserve their precious coins. Looking for an entry as close to 300 as possible to minimize keep tight stops - never know with these coins. But once we start heading back to 250... any significant volume close below and 200 is going to come quick.
Bear flags have been getting shorter as highlighted in the chart and the candles have been consistently staying under the shown (E)MAs. We tested pretty strong support at 250 and bounced hard unsurprisingly, heading to 280s. However, ETHUSD is now going into a pretty significant overhead resistance at 290s, with 300 being a strong psychological level. One where you might expect people to exit after recouping the 50 swing below to preserve their precious coins. Looking for an entry as close to 300 as possible to minimize keep tight stops - never know with these coins. But once we start heading back to 250... any significant volume close below and 200 is going to come quick.
Comment:
Looking at the microstructure of this trade on the 5 minute chart shows a possible H&S here playing out, which, if it does, would resolve at 300 for the measured move. So, bounce may still be in play for now.