The bulls successfully push the ETH/USD pair above the EMA (30) level 2 days ago, which is supposed to be a positive sign.
The pair is also still above its SMA (200) level, the long downtrend line and mid-term uptrend line indicating a bullish condition.
However, the bears aggressively resist the uptrend momentum at Fibonacci 78.6% level and try to push back below the EMA (30) level.
The consolidation period seems to be extended until the next few days to see who will define the next direction.
If the next daily candle is closed below the EMA (30) level, it is most likely the bears will take action.
From the daily candlestick view, the descending parallel channel is seen that must be broken out to continue the uptrend momentum.
The pair is likely to move in a tight range of the Fibonacci 61.8% to 78.6% level ($ 223 - $253).
The first support is the mid-term uptrend line. If it is broken down, it is highly likely the Fibonacci 61.8% will crack.
If so, the pair will follow the channel and the bears will take control.
Trading setup:
A long position can be opened if the pair is secured above the descending channel for 1-2 daily candles.
If the price fall below mid-term uptrend line and the 61.8% Fibo level, the bearish reversal condition most likely will start to test the latest higher low at $209.
If $209 is broken, a short position should be taken and wait to see how the pair will treat the 50% Fibo, 38.2% Fibo and SMA(200) level.
The pair is also still above its SMA (200) level, the long downtrend line and mid-term uptrend line indicating a bullish condition.
However, the bears aggressively resist the uptrend momentum at Fibonacci 78.6% level and try to push back below the EMA (30) level.
The consolidation period seems to be extended until the next few days to see who will define the next direction.
If the next daily candle is closed below the EMA (30) level, it is most likely the bears will take action.
From the daily candlestick view, the descending parallel channel is seen that must be broken out to continue the uptrend momentum.
The pair is likely to move in a tight range of the Fibonacci 61.8% to 78.6% level ($ 223 - $253).
The first support is the mid-term uptrend line. If it is broken down, it is highly likely the Fibonacci 61.8% will crack.
If so, the pair will follow the channel and the bears will take control.
Trading setup:
A long position can be opened if the pair is secured above the descending channel for 1-2 daily candles.
If the price fall below mid-term uptrend line and the 61.8% Fibo level, the bearish reversal condition most likely will start to test the latest higher low at $209.
If $209 is broken, a short position should be taken and wait to see how the pair will treat the 50% Fibo, 38.2% Fibo and SMA(200) level.