Hello, everybody, and welcome to my TradingView’s profile, my name is Gianni and today I’m going to analyse the ETH/USD, translating the market information by using a full technical analysis on different time frames, giving you a personal opinion about the next most likely market movement and helping you to spot and manage market opportunities. My ideas are for those who are interested in improving their financial education and for those who are looking for new trading opportunities, according with their own strategies.
Monthly timeframe:
Weekly timeframe:
Daily timeframe:
4 hours timeframe:
The market has been following a descending channel for a while, it is inside a dynamic fair value area where the sellers are still slightly more in control compared with the buyers. Volumes increased every time the price attempted to reach the support level, that’s a sign that on the support level, buyers are ready to step into the market (a huge shadow on the first rejection and a big green candle that engulfed the previous few candles are clue of strong demand). The price is currently retesting a daily key level with a possibility to see a new movement to the downside before consolidating and eventually start changing the trend.
When, where and why would I step into the market? Considering that the most trading activity happened to the low value of the channel, the downtrend could be considered still healthy, until I will see the price making a higher low! With a good rejection on the current resistance level, I would definitely speculate on this market with a short position with a RRR of 1:2 or greater.
My stop loss would be above the last higher high and my target profit on the support level, just close to the middle line of the channel. Low volumes on the current level, small candles rejection and poor RRR would invalidate my short trade on this market. In this scenario I will be waiting for the next market movement, considering that however, the demand could change the current trend, soon!
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Trade safe and responsibly, Gianni
DISCLAIMER Please note the views are not investment advice and should be used only for educational purpose