Ethereum: Bullish Flag and How to Trade

The bullish flag in the 4H chart allows us to think that the market is going to move upward. If the price breaks the upper line of the chart pattern, it will be a solid bullish signal and a new trade opportunity as well.

Also, we can use 400$ support zone and a reversal signal for buying. Because it is the key zone for the buyers right now and they try to protect this zone.

If the price breaks the support zone and SMA50, it will give a solid bearish signal. The price will be able to reach SMA200 and the daily uptrend line. The price reversal at SMA200 will be used for buying.



Disclaimer!
This post does not provide financial advice. It is for educational purposes only! You can use the information from the post to make your own trading plan for the market. But you must do your own research and use it as the priority. Trading is risky, and it is not suitable for everyone. Only you can be responsible for your trading.

Comment:

The market gives us a solid bearish signal. Why the price was stopped at that level?

Because we have good support. Now we can see a pullback and a possible reversal from 400$ which is acting as new resistance. The price reversal from the resistance will push the price toward 360$.

The breakout above 400$ will be good for the bulls.

Comment:

If the price stays above the support, which I showed you in the previous post, it will be a bullish signal as well.