Let's dive right into a couple of the positive/bullish aspects on the ETH chart. Firstly, on the 4 hour chart we can see that ETH has broken above the 8, 13, 21 and 50 day averages causing them to converge and is now using them as support. We can see the MACD showing bullish convergance starting on 3/30 with volume that day being higher than the previous by 40,000. The chart also shows the current candle testing the 200 day average. At first glance this all seems like an excellent reversal/buy signal and for a short term position I think it would have been; my concern is the RSI being up to 80 at the same time we are testing the 200 day average. For perspective, we haven't had the RSI signal that ETH was this overbought since January 9th this year. I'm concerned that this could be an aggressive bull trap. I sincerely hope this isn't the case but we will see.
*** NOT INTENTED TO BE ENTRANCE OR EXIT ADVICE. I CLAIM NO RESPONSIBILITY FOR YOUR TRADES. BEST OF LUCK.
*** NOT INTENTED TO BE ENTRANCE OR EXIT ADVICE. I CLAIM NO RESPONSIBILITY FOR YOUR TRADES. BEST OF LUCK.