Short

EOS Actually Still Looks A Little Bearish Short Term

Updated

Ok, ok, this is my last chart update for the day. I just love this stuff too much. If you recall, I anticipated the major breakdown of EOS to the 5000 level after the long term linear uptrend was lost, even though I originally said it looked very bullish. I also suggested that 5000 good area to close a short position once we reached it and to look for a bounce. We nailed my target right on the head and bounced heavily, all the way up to 10000. HOWEVER, we actually found resistance at our previous uptrend (in purple), and are consolidating just below a previous major resistance area (red box). This leads me to believe that we might actually have a push up here...but also that we MAY have to retest a lower area before trying to reclaim the linear uptrend again. I think EOS is still long term bullish, but I'm not convinced it's ready just yet.

This is a short setup, but if the altcoin market continues to look good, we may just stay in this area before we push up towards 10000 again. Either way, this doesn't seem like a buy to me here.

SHORT SETUP:
break below 9000
Target between 7400 and 7500.

BUY SETUP:
break of the purple uptrend, or 11000 to be safe.
7400-7500 if we get down there,

This is not financial advice. Just wanted to update this pairing, since I haven't done it in a while. Links to previous EOS anaylses at bottom.

-Victor Cobra

Note

This trade might actually be a little risky, if the altcoin market continues to look strong. Remember, there is also a possibility we take out that purple resistance soon, in which case it would be a buy signal. This chart is really just to show that we MIGHT need to touch a lower support before going up.

Note

EOS actually looks better than I originally thought. Shouldn't have posted this as a short idea, but as a neutral post. It could technically go either way, but I'm leaning towards a break of the purple trendline sooner rather than later.

Note

Interestingly enough, the weakness I was seeing in EOS wasn't completely unfounded. We're still holding support though, so I still think we can push up here, as long as Bitcoin doesn't drop too much. However, I do think the altcoin market may be ready for a correction. Though if this logic were applied to the bear market, you could've said "we're due for a pump" many times, only to experience another 50% decline shortly thereafter.

VictorCobra

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