ETHUSD Medium-term Trend: Bearish
Resistance: $ 600, $650, $700
Support: $550, $500, $450
On May 6, the ETHUSD pair had been on a downward trend as per the weekly chart. The asset fell from the high of $833.14 to the low of $538.37, on May 20, 2018. Today the asset is currently trading at $574.73 as at the time of writing.
Nevertheless, Ethereum is in a bullish market. The bulls had been able to sustain the price above $500. If the bulls hold on to that price level, Ethereum will reach the high of $720. However, if the bulls lose possession price will fall to the low of $357.
ETHUSD Short-term Trend: Ranging
On the daily chart, price of the asset is in a range bound movement. Price fell from the high of $834.41 to the low of $357.45 to commence a range bound movement. From the chart, the asset is fluctuating from the resistance level at $834.41 to the low of $357.45. In a range-bound movement, the resistance level and the support level are critical levels to trade upon. However, if the asset gets to the support level, traders should initiate a long trade and a stop loss below the support level. If the asset ranges to the resistance level at $834.41, a short trade should be initiated and a stop loss above the resistance level. Meanwhile, the relative strength index period 14 is level 41 indicates that price is in the range bound zone.
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