The ETH-merge was successful last night around 3PM EST but, as we've been discussing, so far it's turned out to be a "buy the rumor, sell the news" type of event.
This isn't abnormal, as almost every airdrop/major crypto hype event that I've seen over the years has sold off hard shortly after.
Now please listen carefully:
- I am NOT saying that the merge did not make a positive change to the asset
- I am NOT saying that ETH is worse off after the merge
I'm simply saying that events like this are breeding grounds for manipulation & volatility.
Moving onto the charts.
Daily TF:
- Rejection just under GP @ $1789 on Sept 11
- Broke back below LT downward sloping trendline Sept 13
- 9SMA rolling over, VERY bearish
- Finding support @ 100SMA $1480ish, bulls NEED this to hold
4HR TF:
- RSI is in major oversold territory. This does NOT mean we can't go lower, but it is suggesting a possible bounce @ some point. DO NOT rush in & catch a falling knife.
1HR TF:
- about as oversold on RSI as 4HR
- 9SMA @ $1550ish
15MIN TF:
- RSI same deal as 4HR
- price bounced slightly & finding resistance @ 9SMA. Need to see 9 start to go sideways then turn up WITH PRICE ABOVE it to get a bigger bounce/re-trace
When looking @ support/resistance from the SMAs it's important to use the 4 major TFs in conjunction.
For example: the 1HR time frame might have zero resistance from $1490 to $1550 BUT if you switch over to the 15min you see that the 9SMA is resistance @ $1496. I hope this makes sense. You basically should learn to use them all together & not rely on just one when setting buy/sell orders.
Bullish targets assuming the $1460 level is the local low:
- 0.236 @ $1535
- 0.382 @ $1585
- 0.5 @ $1625
- Golden Pocket $1660 - 1675
Bearish targets assuming the $1460 level breaks down:
- $1425 re-test Aug 29 lows
- $1300 re-test of BF support & major liquidity zone
Play safe.
This isn't abnormal, as almost every airdrop/major crypto hype event that I've seen over the years has sold off hard shortly after.
Now please listen carefully:
- I am NOT saying that the merge did not make a positive change to the asset
- I am NOT saying that ETH is worse off after the merge
I'm simply saying that events like this are breeding grounds for manipulation & volatility.
Moving onto the charts.
Daily TF:
- Rejection just under GP @ $1789 on Sept 11
- Broke back below LT downward sloping trendline Sept 13
- 9SMA rolling over, VERY bearish
- Finding support @ 100SMA $1480ish, bulls NEED this to hold
4HR TF:
- RSI is in major oversold territory. This does NOT mean we can't go lower, but it is suggesting a possible bounce @ some point. DO NOT rush in & catch a falling knife.
1HR TF:
- about as oversold on RSI as 4HR
- 9SMA @ $1550ish
15MIN TF:
- RSI same deal as 4HR
- price bounced slightly & finding resistance @ 9SMA. Need to see 9 start to go sideways then turn up WITH PRICE ABOVE it to get a bigger bounce/re-trace
When looking @ support/resistance from the SMAs it's important to use the 4 major TFs in conjunction.
For example: the 1HR time frame might have zero resistance from $1490 to $1550 BUT if you switch over to the 15min you see that the 9SMA is resistance @ $1496. I hope this makes sense. You basically should learn to use them all together & not rely on just one when setting buy/sell orders.
Bullish targets assuming the $1460 level is the local low:
- 0.236 @ $1535
- 0.382 @ $1585
- 0.5 @ $1625
- Golden Pocket $1660 - 1675
Bearish targets assuming the $1460 level breaks down:
- $1425 re-test Aug 29 lows
- $1300 re-test of BF support & major liquidity zone
Play safe.