COINBASE:ETHUSD Ethereum / U.S. Dollar
To my channel and Fibonacci traders, here is another short trade that could hold if this current channel holds true. Price has moved back inside the channel, which is good news because we will be able to tell what price is doing. We know that every time price takes out a channel target, it moves back, preparing for the next target. In this case, we know that all the channel lines down to the middle channel line have already been take out. They are no longer target. This creates what is know as an Open Space or a Desert which are areas where you get the explosive moves which races with long candles. This might happen here given the deep retracement. Our next target is on the confluence between the channel line below the middle channel line and Fib 161.8. Note how they new where Fib 50.0 was when they retraced. Hope this little helps.