Ethereum: USD/ETH (ETH=) Primed For Fresh Rally
This past week, there was a solid rise in Ethereum price above the $160 resistance area against the US Dollar. ETH price broke a couple of important resistance levels near $170 and traded to a new yearly.
It traded as high as $179 and settled above the 55 simple moving average (4-hours). Recently, the price started a downside correction below the $175 and $170 levels. Moreover, there was a break below the $165 support.
However, the price remained well bid above $160-$161 and the 55 simple moving average (4-hours). Ethereum is currently rising and trading above the 23.6% Fib retracement level of the recent decline from $179 to $161 low.
On the upside, the first barrier for the bulls is near the $170 level. It coincides with the 50% Fib retracement level of the recent decline from $179 to $161 low.
If ETH price climbs above the $170 resistance area, there is a risk of a sharp increase above the $175 resistance. In the mentioned case, the price may perhaps break the $179 swing high in the near term.
On the downside, there is a major support forming near the $161 and $159 levels. Besides, there a major bullish trend line forming with support near $160 on the 4-hours chart.
A clear break below the $159-$160 support area could start a substantial decline in the coming sessions. The next major support is near the $152 level, below which the price could revisit the $145 zone.
Overall, the bias in prices is: Upwards.
Note: this chart shows extraordinary price action to the upside.
By the way, prices are vulnerable to a correction towards 156.76.
The projected upper bound is: 183.88.
The projected lower bound is: 154.38.
The projected closing price is: 169.13.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 7 white candles and 3 black candles for a net of 4 white candles. During the past 50 bars, there have been 28 white candles and 22 black candles for a net of 6 white candles.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 42.3676. This is not an overbought or oversold reading. The last signal was a sell 3 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 66.44. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 3 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 64. This is not a topping or bottoming area. The last signal was a sell 3 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 29 period(s) ago.
Rex Takasugi – TD Profile
FOREX ETH= closed down -0.030 at 168.710. Volume was 68% below average (consolidating) and Bollinger Bands were 74% wider than normal.
Open High Low Close Volume___
168.960 169.950 167.340 168.710 21,251
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 165.38 142.25 179.69
Volatility: 88 65 74
Volume: 100,548 74,865 67,016
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
FOREX ETH= is currently 6.1% below its 200-period moving average and is in an upward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect moderate flows of volume into ETH= (mildly bullish). Our trend forecasting oscillators are currently bullish on ETH= and have had this outlook for the last 16 periods.