Ethereum: USD/ETH (ETH=) Approaching Crucial Resistance
This month, there was a nasty dip in Ethereum price below the $172 and $160 support levels against the US Dollar. Moreover, ETH broke the $150 support area, the 55 simple moving average (4-hours), and traded close to the $130 area.
A new monthly low was formed near $131.78 and the price recently started an upside correction. The price recovered above the $140 resistance. Moreover, there was a break above the 23.6% Fib retracement level of the recent slide from the $186 high to $132 low.
However, the price seems to be facing a couple of key hurdles near the $150 and $152 levels. Besides, the previous supports near $155 and $158 are also crucial hurdles for the bulls.
Additionally, the 50% Fib retracement level of the recent slide from the $186 high to $132 low is near the $159 level. More importantly, there is a key bearish trend line forming with resistance near $158 on the 4-hours chart.
Finally, Ethereum could struggle to break the $160 resistance and the 55 simple moving average (4-hours). Therefore, a clear break above the $155, $158 and $160 resistance levels is must for a trend change. The next resistance is near the $174 level.
If the price fails to climb above the $155, $158 and $160 resistance levels, it could resume its decline. An initial support is near the $144 level, below which it could test the $140 support.
The main support is near the $132 zone. Any further losses may perhaps lead the price towards the $125 support area in the near term.
Overall, the bias in prices is: Downwards.
Note: this chart shows extraordinary price action to the downside.
By the way, prices are vulnerable to a correction towards 173.93.
The projected upper bound is: 163.45.
The projected lower bound is: 127.34.
The projected closing price is: 145.39.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 3 white candles and 7 black candles for a net of 4 black candles. During the past 50 bars, there have been 21 white candles and 29 black candles for a net of 8 black 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 49.5473. This is not an overbought or oversold reading. The last signal was a sell 47 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 28.39. This is where it usually bottoms. The RSI usually forms tops and bottoms before the underlying security. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 68 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 -83. This is not a topping or bottoming area. The last signal was a buy 1 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 sell 15 period(s) ago.
Rex Takasugi – TD Profile
FOREX ETH= closed down -2.580 at 146.040. Volume was 79% below average (consolidating) and Bollinger Bands were 56% wider than normal.
Open High Low Close Volume___
148.610 148.700 143.600 146.040 13,159
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 157.85 177.00 213.41
Volatility: 59 66 83
Volume: 55,007 50,693 66,440
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 31.6% below its 200-period moving average and is in an downward trend. Volatility is Our volume indicators reflect moderate flows of volume out of ETH= (mildly bearish). Our trend forecasting oscillators are currently bearish on ETH= and have had this outlook for the last 7 periods. Our momentum oscillator is currently indicating that ETH= is currently in an oversold condition.