ETH/USD: Trade idea

Updated

When we look at the chart we can see that the price reversed off the all time high and is respecting it until now. What I am looking for now is that we get a little downwards movement so that we can get a hit of the 0,618 level of the Fibb. Once we get that In will be buying some Ethereum. Once that price is broken and if we do see some more downwards movement from the 0,618 level than I am going to see and wait. If we can get a hit on the 0,382 level of the Fibb I will be adding more to my position but I personally think that the chance is not that big that we are going to get a hit of that level anytime soon. It even seems unlikely that we will get a hit of the 0,618 level but that seems to be in reach as long as we do not break the all time high resistance level.

For now the price is testing the previous resistance zone and we know that if it is not able to break below that previous resistance level then that could turn into a support zone as we have seen in the past. If we do not get a break of that resistance zone that I would be adding a small position on the reverse of that previous resistance level and I will be looking at that level than as the new support zone and not anymore like a previous resistance level.
The thing with the resistance zone that could turn into a support zone is the same thing that you can see on the part of the chart that is marked as zone of interest.

Note

Price is now in the resistance zone from the past. Now there are 2 things that could happen.

1) If it breaks below we are going to be watching for a touch of the 0.618 level of the FIBB to buy some at the point. From there on out I will keep you posted on when I will be looking to buy even more.

2) We get to see a reversal to the top side and see that the previous resistance line does not get broken. Once we get to see that we could say that we have a new support zone and we could risk it to buy a little at that price. Do keep in mind that I will buy a little only because only 1 reversal of a zone is not enough for me to call it a good support zone.

Will keep you updated when it is needed.

Note

Price bounced nice off the previous resistance zone. Going to keep an eye out for it now because it is back again in the zone. If we do not get a break of the zone here we could be looking at a new support zone that is forming.
Will keep you updated in Friday or during the weekend.

Note

As we can see now the price broke the resistance high and made a new all time high. We can also see that the price is now dropping back a little. If we could get a hit of the support zone than I think I could go long for a fast little day-trading action.

Note

This is what I would do if I do end up taking a trade.
The plan is than to close 50% at the TP zone you can see on the chart and let the other 50% run with SL at the entry point.

Note

The price is again touching the previous support/resistance zone. The trade that is something like I am looking to take is attached in this comment.
I won't be take the trade now but I will be looking for a small reversal first.

MaBaCapital2

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