Whenever the market does not AT ALL act as expected, it is time to step back, cut the bias and have a fresh & adjusted look at the situation. As far as the ETHEUR chart is concerned, these are the results...
The wick down on Oct 29th was as violent as it was useful on two different levels. First of all, it must be taken as reminder that a healthy risk management is crucial. NEVER overleverage a position and/or set reasonable S/L. In a rather illquid market, such massive wicks must be expected at any time and should never lead to liquidation.
On the other (technical) hand, it has provided an important point of orientation. Connecting the two prominent wicks (08-02 & 10-29) and taking it as base line, we now can identify 3 BULLISH channels (black/orange/blue) and important support (low 9s) /resistance (10.88-11.33) areas.
And that is pretty much the plan. BUY in low/mid 9s (S/L 9.11) and SELL when hitting resistance. A local top around the yellow circle is to be expected.
Happy Trading!
(NEUTRAL since no active position, yet)
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The new Monthly did not open exactly bullish... Let´s see how this plays out.
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Idea as described remains valid for the time being...
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Zooming in on the Daily, 9.34 is proposed as most desirable entry.