Is ETH About to Breakout?
The short and long of it is: Probably not.
Current Situation:
• Admittedly, ETH looks somewhat better than Bitcoin. However, if you are not long from the range lows, now is definitely not the time to long.
• ETH has been in a range since May 8th. During the month of May ETH tried to break out of the range three times (including today) without success.
• Common sense trading dictates that you short resistance and long support.
• Do not let FOMO rule your decision-making process. Let PA show you if this breakout attempt is real.
• If ETH breaks the range high (1886) and tests it as support, we can look for a long entry, for now ETH is a short opportunity.
• Please read my linked idea about BTC, because a lot what I wrote there is also relevant for ETH.
• Be carful with your SL placement. Not too tight, because ETH’s MM’s send nasty wicks up and down to stop traders before making a move.
• It may be best to wait for the volatility of the weekly close before entering the trade. Depends on your confidence and trading style.
• Look for a rejection candle and/or bearish Divergences before taking the trade.
Trade Idea:
• Entry: 1867.
• SL: 1886.
• Targets:
TP1: 1757 (Previous low).
TP2: 1735 (Range low).
TP3: 1712 (0.5 fib).
NFA.
Feedback will be appreciated.
Best wishes to all.
Current Situation:
• Admittedly, ETH looks somewhat better than Bitcoin. However, if you are not long from the range lows, now is definitely not the time to long.
• ETH has been in a range since May 8th. During the month of May ETH tried to break out of the range three times (including today) without success.
• Common sense trading dictates that you short resistance and long support.
• Do not let FOMO rule your decision-making process. Let PA show you if this breakout attempt is real.
• If ETH breaks the range high (1886) and tests it as support, we can look for a long entry, for now ETH is a short opportunity.
• Please read my linked idea about BTC, because a lot what I wrote there is also relevant for ETH.
• Be carful with your SL placement. Not too tight, because ETH’s MM’s send nasty wicks up and down to stop traders before making a move.
• It may be best to wait for the volatility of the weekly close before entering the trade. Depends on your confidence and trading style.
• Look for a rejection candle and/or bearish Divergences before taking the trade.
Trade Idea:
• Entry: 1867.
• SL: 1886.
• Targets:
TP1: 1757 (Previous low).
TP2: 1735 (Range low).
TP3: 1712 (0.5 fib).
NFA.
Feedback will be appreciated.
Best wishes to all.
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