Channel Down + Triangle Pattern (1day charts)
Ethereum has continued in its downward channel, we had a nice bounce off the top of the channel at 128 and then we saw the price drop down and not push through the downward sloping resistance line. We are now currently in a symmetrical triangle that is looking like it will break to the downside. If it does drop to the downside, there is a big possible profit ratio if it comes down to the next biggest resistance at 84, and as much as it's probably being hopeful (I will be short), the next profit target for me would be around 60. Could be a good entry once the triangle pattern breaks to the downside and closes, but as we've seen there has quite often been a move higher before going lower, something to watch out for.
Either wait for the drop outside the triangle pattern and open a short position on the retest/bearish candlestick pattern, or wait for the move to the upside and open a short when you see consolidation at the top. Right now ETH is looking bearish, but an early entry could wipe out any profits.
*The blue lines with arrows are suggesting 2 possible bearish scenarios.
Please leave a comment if you want to have a discussion about this, or if you think I'm wrong!
Either wait for the drop outside the triangle pattern and open a short position on the retest/bearish candlestick pattern, or wait for the move to the upside and open a short when you see consolidation at the top. Right now ETH is looking bearish, but an early entry could wipe out any profits.
*The blue lines with arrows are suggesting 2 possible bearish scenarios.
Please leave a comment if you want to have a discussion about this, or if you think I'm wrong!
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