Ethereum is still healthy if we remain within this channel!

Ethereum has been really nice to trade these past months, a continuous practice of buying low and selling high has been a large part of my success in the market.


It is to be expected that we bounce between the .618 and .382 Fibonacci levels until volume returns. If we were to break down below I would expect us to revisit the .236 Fibonacci level; therefore I am currently neutral as far as positions are concerned.

I have drawn a channel shown by the upper and lower green trendlines which we have maintained.

The regression trend marks when I was sure the trend would continue bullish into four figures.

Comment:

What Do Fibonacci Retracement Levels Tell You?
|
|
Fibonacci retracements can be used to place entry orders, determine stop-loss levels, or set price targets. For example, a trader may see a stock moving higher. After a move up, it retraces to the 61.8% level. Then, it starts to go up again. Since the bounce occurred at a Fibonacci level during an uptrend, the trader decides to buy. The trader might set a stop loss at the 61.8% level, as a return below that level could indicate that the rally has failed.

Fibonacci levels also arise in other ways within technical analysis. For example, they are prevalent in Gartley patterns and Elliott Wave theory. After a significant price movement up or down, these forms of technical analysis find that reversals tend to occur close to certain Fibonacci levels.

Fibonacci retracement levels are static prices that do not change, unlike moving averages. The static nature of the price levels allows for quick and easy identification. That helps traders and investors to anticipate and react prudently when the price levels are tested. These levels are inflexion points where some type of price action is expected, either a reversal or a break.
|
|

Comment:

Perfectly broke through and bounced up to the .786 Fibonacci Retracement level where it was seemingly rejected as expected. Happy with Ethereum's performance!

Comment:

We broke past the .786, this amazing!