ETH Have Another Move Up? This Analysis Provides Some Answers.
ETH is marching through its bull channel showing great support at the 30EMA and holding its ground in the resistance zone. It appears the bounce off of support has lost momentum. With Bitcoin also stalling at Weekly Support, it leaves some questions open.
How do we trade this?
We should be long in a bull trend until we have reason to doubt the trend will continue. We have a strong bull bar off of the 30EMA followed by a doji (indecision bar or trading range bar) and another forming in the current daily candle. Since we're in the resistance zone, it's reasonable to hesitate in entering a long until we see another bounce off of support.
Alternatively, we can also wait for a short signal in this zone as we have failed to break above $2,140. Until we see either signal, it's reasonable to wait on the sidelines.
1. In a Bull Channel, Long Bias.
2. Strong Bull Bar off 30EMA.
3. Price in the Resistance Zone.
4. RSI at 62.00 and Below the Moving Average.
5. Wait for a Sell Signal to Short.
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