Short Term Bearish On ETHUSD - Head & Shoulders Pattern Apparent
The bearish case:
1. Market Structure: Currently there is a head and shoulders clearly forming on the 12HR chart with the price action trying to get break through the 21 daily moving average.
2. Volume: The weekly candle this week is not a convincing indicator to expect higher price action - The bounce looks weak with low volume.
3. RSI: Weekly RSI is in overbought territory, but it could go both ways as it is sitting at about 72
Prediction: if the head and shoulders pattern play out, the measured price target is about 280.
The bullish case:
1. It needs to close above 420 to convince that the head and shoulders pattern is negated before looking for another leg up.
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Please let me know your ideas, agree or disagree. Follow me as I will be posting updated charts on Crypto.
1. Market Structure: Currently there is a head and shoulders clearly forming on the 12HR chart with the price action trying to get break through the 21 daily moving average.
2. Volume: The weekly candle this week is not a convincing indicator to expect higher price action - The bounce looks weak with low volume.
3. RSI: Weekly RSI is in overbought territory, but it could go both ways as it is sitting at about 72
Prediction: if the head and shoulders pattern play out, the measured price target is about 280.
The bullish case:
1. It needs to close above 420 to convince that the head and shoulders pattern is negated before looking for another leg up.
***
Please let me know your ideas, agree or disagree. Follow me as I will be posting updated charts on Crypto.
Comment:
*These are purely my speculations and are not financial advice.