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dailytaguy
May 19, 2022 10:16 PM

ETH/USD Daily TA Neutral Bearish 

Ether / United States DollarCoinbase

Description

ETH/USD Daily neutral with a bearish bias. *Bulls are defending the CRITICAL SUPPORT at $2000 for the seventh consecutive day and may succeed but be wary of a potential bull trap.* Recommended ratio: 40% ETH, 60% cash. Price is currently testing $1941 support for the fourth time in the past seven sessions after being rejected by the 50/50 trendline from February 2017 as resistance at $2100. Volume is back to being moderate and fairly balanced between buyers and sellers as Price is testing a very critical support. Parabolic SAR flips bearish at $1717, this margin is mildly bearish. RSI is currently trending up and testing 36.91 resistance; if it can break above it then it will likely test 55.31. Stochastic remains bullish after resisting a bearish crossover in yesterday's session and is currently trending up and testing 46.76 resistance. MACD remains bearish and has been trending sideways at -252 for six consecutive sessions now in trough formation; if it is able to break above -224 then it would cross over bullish. ADX remains trending up and is currently beginning to form what could be a peak at 48 as Price is seeing support after a 45% drawdown since April 5th; if ADX begins to trend down as Price goes up, this would be mildly bullish. If Price is able to defend $1941 support then the next likely target is a retest of the 50/50 trendline from February 2017 at $2100 before potentially heading higher to retest $2408 minor resistance. However, if Price breaks down here, expect quite a violent sell-off that will likely take Price down to $1426.78 support. Mental Stop Loss: (two consecutive closes above) $2100.
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