ETH - SHORT TERM TRADE ETHEREUM
Updated
ETHUSD enters a bullish setup. Could be a short term trade with a 3.5:1 ratio. Buy/Sell Signal:
Ethereum is right a the cross of the 100DMA and 200DMA which would indicate the beginning of a new Ethereum bull market. Since Cryptocurrencies are highly correlated with Bitcoin, I would not suggest entering a long term position before we have the confirmed signal for our Bitcoin position (check my Bitcoin analysis). Besides the cross, Ethereum broke out of the flag is was forming during the recent weeks. This setup and the overall strength of the crypto market gives us enough confidence to enter the trade once the signals are confirmed. If Ethereum can close above 178$ then a long position will be opened.
Targets:
Since Bitcoin is not in an official bull market yet, we want to be careful with our targets. The first target is the psychological resistance of 200$, afterwards, we will look at the 50WMA and the 1.382 Fib-extension which gives us a target in between 225$ and 230$. In this area, we will sell most of our long position. The last target is between 250$ and 255$, which is psychological resistance and the 1.618 Fib-extension. Overall only a small fraction of the position should be left when this target is reached.
I hope this was helpful.
Best,
Felix Kewa
Trade active
If we close above 178 then the trade is active.Note
First target reachedTrade closed: target reached
Was a really smooth ride. Hope you guys could lock in some profits.
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