Ethereum - How To Trade + Key Reversal Points.
Updated
Update on ETH/USD: In the chart you can see two patterns.
First one is The Ascending Triangle which is continuation pattern. Which forms usually during an uptrend. This pattern is giving a great opportunity to open long term trades.
Second one is The Rising Wedge which is reversal pattern. It forms usually during an Uptrend but breaks downwards.
Second pattern is playing key role in this trade. If the pattern breaks downwards I have drawn initial reversal zones and the second reversal zone is measured by the pattern itself.
Note if the price can't hold either of these possible reversal points and breaks below 670 level, then it is indicating that the price wants to move further down and it's important to wait for another trading opportunity.
RSI & MACD supports the idea of further upward movement and even though the rising wedge breaks a bit downwards it should not have effect on this signal from the oscillators.
Once MA50 (Blue) crosses above MA100 (orange), it gives us extra confirmation that the trend has changed.
The price is forming double bottoms on the lower band which supports of upward movement. Buy orders should be set above the swing high of 790 level and stop loss below strong support level of 643.
Trade with carefulness and remember to use always stop-loss orders!
Partial amount should be left for the longer run and that's one of the reason why I haven't wrote any longer term targets this time.
Trading Information:
Buy: Above 790
Partial Profit Target: 834
Main profit target: 965.73 & 1017.05
Stop Loss: 620
Things to Remember:
-> Stop-loss orders are strongly recommended.
-> Beware of buying tops or FOMOS, you might end up losing or waiting long periods of time before getting anything back.
-> Do your homework before investing.
DISCLAIMER:
Please be aware I am providing this trading information for your benefit and insight to my trading strategies. You are responsible for your trading and investing decisions. It is highly recommended to do your own research before investing anything.
Yarr!
First one is The Ascending Triangle which is continuation pattern. Which forms usually during an uptrend. This pattern is giving a great opportunity to open long term trades.
Second one is The Rising Wedge which is reversal pattern. It forms usually during an Uptrend but breaks downwards.
Second pattern is playing key role in this trade. If the pattern breaks downwards I have drawn initial reversal zones and the second reversal zone is measured by the pattern itself.
Note if the price can't hold either of these possible reversal points and breaks below 670 level, then it is indicating that the price wants to move further down and it's important to wait for another trading opportunity.
RSI & MACD supports the idea of further upward movement and even though the rising wedge breaks a bit downwards it should not have effect on this signal from the oscillators.
Once MA50 (Blue) crosses above MA100 (orange), it gives us extra confirmation that the trend has changed.
The price is forming double bottoms on the lower band which supports of upward movement. Buy orders should be set above the swing high of 790 level and stop loss below strong support level of 643.
Trade with carefulness and remember to use always stop-loss orders!
Partial amount should be left for the longer run and that's one of the reason why I haven't wrote any longer term targets this time.
Trading Information:
Buy: Above 790
Partial Profit Target: 834
Main profit target: 965.73 & 1017.05
Stop Loss: 620
Things to Remember:
-> Stop-loss orders are strongly recommended.
-> Beware of buying tops or FOMOS, you might end up losing or waiting long periods of time before getting anything back.
-> Do your homework before investing.
DISCLAIMER:
Please be aware I am providing this trading information for your benefit and insight to my trading strategies. You are responsible for your trading and investing decisions. It is highly recommended to do your own research before investing anything.
Yarr!
Trade active
Trade closed: target reached
All targets reached! Congratulations all who took this trade!
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Disclaimer
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