Hello guys, this is just a quick update on ETH
Last week when bearish divergence occurred on the daily timeframe, I updated you in the weekly analysis with the idea to take partial profits at $59X. Although our first target is still at $780 we cannot ignore the bearish price actions occurred at a close proximity to the weekly resistance. Hence, I decided to close some positions.
As we have taken partial profits we need to make sure we find a good price level to re-enter our profits. At this moment, the best price level to re-enter is at $350 (but market may not give us the chance to re-enter). The next good price levels that I will re-enter my profits are at $440 & $380, which are the 0.618 & 0.786 fib retracement in confluence with support.
Even if price retraces to $350, the bullish market structure is still intact. A 30% - 40% drop means little on the broader picture.
Last week when bearish divergence occurred on the daily timeframe, I updated you in the weekly analysis with the idea to take partial profits at $59X. Although our first target is still at $780 we cannot ignore the bearish price actions occurred at a close proximity to the weekly resistance. Hence, I decided to close some positions.
As we have taken partial profits we need to make sure we find a good price level to re-enter our profits. At this moment, the best price level to re-enter is at $350 (but market may not give us the chance to re-enter). The next good price levels that I will re-enter my profits are at $440 & $380, which are the 0.618 & 0.786 fib retracement in confluence with support.
Even if price retraces to $350, the bullish market structure is still intact. A 30% - 40% drop means little on the broader picture.