On bigger time frames Ethereum seems to be forming a continuation pattern to the downside against USD and Bitcoin! This gives us a pretty good intraday swing opportunity.
Against the dollar, a breach of the $273.67 level is necessary to bring the structure into effect, although short entries could be taken with a break of the daily target at $282 (but that's very early bird!). A MAX TP can be set around $230. Pressure has been mounting in this market, which can bring huge volatility with a breach and close to the upside or downside. Obviously a break up beyond $312 will invalidate this idea and take this market soaring upward. If this happens, I'll post a new thread.
In the meantime, while I am a dollar denominated trader, my strategy with altcoins involves analyzing price action against Bitcoin as well. Key levels are designated on the chart, and it shows me Ethereum has been struggling to fetch capital versus Bitcoin to the point where we are now trading at the bottom edge of a big bullish trading zone. I can only wait for a higher high in the ETHBTC chart, to go long ETHUSD 2.20% ... and only if we have continued strength in the BTCUSD 4.97% chart!
Cheers and GLWT!
-Erik
Against the dollar, a breach of the $273.67 level is necessary to bring the structure into effect, although short entries could be taken with a break of the daily target at $282 (but that's very early bird!). A MAX TP can be set around $230. Pressure has been mounting in this market, which can bring huge volatility with a breach and close to the upside or downside. Obviously a break up beyond $312 will invalidate this idea and take this market soaring upward. If this happens, I'll post a new thread.
In the meantime, while I am a dollar denominated trader, my strategy with altcoins involves analyzing price action against Bitcoin as well. Key levels are designated on the chart, and it shows me Ethereum has been struggling to fetch capital versus Bitcoin to the point where we are now trading at the bottom edge of a big bullish trading zone. I can only wait for a higher high in the ETHBTC chart, to go long ETHUSD 2.20% ... and only if we have continued strength in the BTCUSD 4.97% chart!
Cheers and GLWT!
-Erik
Komen:
Idea invalidated! But watch the downtrend line in the ETHBTC chart as it could provoke a selloff.
Komen:
Resistance is pretty big in the ETHBTC chart, so ETHUSD is vulnerable to losses in the BTCUSD pair atm. This needs to be resolved for ETHUSD to break out to the upside, otherwise this is shorting territory :)
Komen:
Forgot to add, the original idea is back on the table!
