ETHUSD Daily neutral with a bullish bias. Recommended ratio: 55% ETH, 45% Cash.
*Cryptos and Equities both saw minor corrections at critical resistance levels after China's weak economic data, the Fed minutes and this week's barrage of recession-fear inducing US economic data (declining housing market, tightening credit market, shrinking GDP estimates, flattening retail sales), but both are now trending up in today's session. In what is now seemingly 2022 fashion, Precious Metals (aside from Copper and Palladium), VIX, Treasuries, Agriculture (aside from Oil and Soy) are all down while DXY, Cryptos and Equities are up. Yesterday's 6th GDPNow Q3 estimate came in at 1.6% compared to the one the day before (08/16) at 1.8%. The Merge is still estimated to launch on Ethereum' Mainnet 09/15/22. It has also been disclosed that Coinbase has a 15% share of the current supply of ETH and stands to benefit from The Merge, however CEO Brian Armstrong also mentioned that they could shut down ETH staking if they came under regulatory threat from the SEC or US Treasury Department. Key Upcoming Dates: S&P US August PMI at 945am EST 08/23; US Q2 Final GDP Estimate at 830am EST 08/25; US July PCE at 830am EST 08/26; UofM Final August Sentiment Survey Index at 10am EST 08/26; Jackson Hole Economic Symposium on 08/25-08/27.*
Price is currently finding a bit of support at $1850 after it was rejected by $1941 resistance again in yesterday's session. Volume remains Moderate (high) and is on track to break a four day streak of seller dominance if it can close today's session in the green. Parabolic SAR flips bearish at $1819, this margin is mildly bearish in the very-short-term. RSI is currently trending up at 60 after bouncing off the uptrend line from 06/18/22 at ~58, the next resistance is at 77. Stochastic is currently testing 18 support and is currently beginning to form a soft trough. MACD is in its first day being bearish and is currently trending down at 103; because this is a lagging indicator there is a chance that the bearish crossover is relatively short-lived so it's important not to overreact. ADX is currently trending sideways at 34 as Price is attempting to find support to push higher, this is neutral at the moment.
If Price is able to bounce here then it will likely retest $1941 resistance before potentially breaking out higher to test a trio of resistances (the 200 MA + the 50/50 uptrend line from February 2017 + the upper trendline of the descending channel from November 2021) at ~$2200 as resistance. However, if Price continues to break down here, it will likely retest $1711 minor support. Mental Stop Loss: (two consecutive closes below) $1800.
*Cryptos and Equities both saw minor corrections at critical resistance levels after China's weak economic data, the Fed minutes and this week's barrage of recession-fear inducing US economic data (declining housing market, tightening credit market, shrinking GDP estimates, flattening retail sales), but both are now trending up in today's session. In what is now seemingly 2022 fashion, Precious Metals (aside from Copper and Palladium), VIX, Treasuries, Agriculture (aside from Oil and Soy) are all down while DXY, Cryptos and Equities are up. Yesterday's 6th GDPNow Q3 estimate came in at 1.6% compared to the one the day before (08/16) at 1.8%. The Merge is still estimated to launch on Ethereum' Mainnet 09/15/22. It has also been disclosed that Coinbase has a 15% share of the current supply of ETH and stands to benefit from The Merge, however CEO Brian Armstrong also mentioned that they could shut down ETH staking if they came under regulatory threat from the SEC or US Treasury Department. Key Upcoming Dates: S&P US August PMI at 945am EST 08/23; US Q2 Final GDP Estimate at 830am EST 08/25; US July PCE at 830am EST 08/26; UofM Final August Sentiment Survey Index at 10am EST 08/26; Jackson Hole Economic Symposium on 08/25-08/27.*
Price is currently finding a bit of support at $1850 after it was rejected by $1941 resistance again in yesterday's session. Volume remains Moderate (high) and is on track to break a four day streak of seller dominance if it can close today's session in the green. Parabolic SAR flips bearish at $1819, this margin is mildly bearish in the very-short-term. RSI is currently trending up at 60 after bouncing off the uptrend line from 06/18/22 at ~58, the next resistance is at 77. Stochastic is currently testing 18 support and is currently beginning to form a soft trough. MACD is in its first day being bearish and is currently trending down at 103; because this is a lagging indicator there is a chance that the bearish crossover is relatively short-lived so it's important not to overreact. ADX is currently trending sideways at 34 as Price is attempting to find support to push higher, this is neutral at the moment.
If Price is able to bounce here then it will likely retest $1941 resistance before potentially breaking out higher to test a trio of resistances (the 200 MA + the 50/50 uptrend line from February 2017 + the upper trendline of the descending channel from November 2021) at ~$2200 as resistance. However, if Price continues to break down here, it will likely retest $1711 minor support. Mental Stop Loss: (two consecutive closes below) $1800.