Intraday Analysis
Re-asssessing ETHUSD’s high timeframe candlesticks:
Yearly Candle: Still a Green Body with a Slightly Longer Head Wick since last check
Monthly Candle: Still a Green Spinning Top since last check but Wicks Lengthened
Weekly Candle: Last check is a Green Body now a Green Long Upper Shadow
Daily Candle: Previous close is a Red Body with a Longer Head Wick current is developing a Red Gravestone Doji
Still bullish on the yearly, however the monthly candle became a long-legged green spinning top suggesting that the Ethereum may have reached a new local top already and buyers are showing signs of exhaustion.
Intraday is losing grounds to above the 3500 level.
Last week’s drop support might be re-tested once again as we head into a long Easter weekend.
Trade Plan
The important 3000 level mentioned in my previous analysis is still a viable strong support.
My stop loss caught in the 4H 200-SMA previously and the ETHUSD’s price is trading in a narrow consolidation at time of writing this.
I change my instance to bearish for now.
With my bets on a further strengthening of the US Dollar and Bitcoin back in its former ATH levels, I’m going to short the ETHUSD with the following orders:
Sell Entry: 3501.4
Stop Loss: 3678.9
Take Profit: 3105.1
Risk to Reward Ratio: 2.23
Conclusion
I’m going to enter aggressively through the current consolidating levels. We just saw a recent drop rejection from 3620 level.
If I am right in what I’m seeing, I am rewarded with a 2.23 RR score and risk the stop loss above the swing highs this week.
Good luck again.
Trading involves risk.
Full read here:
https://www.finlogix.com/analysis/20240328/eth-intraday-analysis-and-trading-plan-for-march-28-2024