ETH, Bullish, Long, Pennant, Cup & handle, S/R flip
Updated
Massive Cup & Handle in combination with a Support/ Resistance flip and bullish news indicates Ethereum may be due for a substantial move up. While I expect there should be some selling pressure around the $750 & $900 marks there is no guarantee it will stop there. But if it hits these targets I will be taking some off the table and looking for a retrace for lower entries.
What kind of trade is this?
High time frame swing trade and low time frame scalps.
What are the key points to be taken from the Macro Technical analysis?
BONUS volume profile:
BONUS Bullish pennant for entry:
Never Trust. Verify.
D.Y.O.R. Not Financial Advice, this is my trading journal.
Always remember: Technical Analysis is not about being right, it's about increasing your odds.
Be prepared to be wrong. Risk management is key. Capital preservation above all else.
What kind of trade is this?
High time frame swing trade and low time frame scalps.
What are the key points to be taken from the Macro Technical analysis?
- Broke through resistance in July & re-tested the Support through Aug- Oct
- Formed a Massive cup & handle Pattern
Looking at the Macro, What is the trend?
LONG. Bullish. - Us Election causing short term volatility. Long term elections have little impact on the market
- DJI & NDAQ recently made new ATH's. Trending higher but monitor this closely
- Gold & Silver has been on a beautiful run but now correcting. Looking for continuation at key levels
- Vaccine with 90% success has been found for Covid19
- More stimulus expected soon
- Ethereum has been trading in a positive direction with higher highs and higher lows since the bottom in March of this year.
What are the key levels For ETH? - I'm looking for a break and retest of $489 to add to this LONG position.
- I'm looking to take some profits off the table at $745 (.5 fib)
- And taking more off at $900 (.618 fib)
- A break below $307 followed by a lower high will indicate a trend change (this level will be moved higher as ETH trends higher)
Are there any news catalysts?
Yes. Bullish. - ETH 2.0 is set to be released December this year, deposit contract now open
- Grayscale recently bought 76,000 ETH and now holds about 2.6% of the total supply
- ConsenSys Acquired JP Morgan's Quorum, as part of the deal JP Morgan has become a client and now has a seat on the board of ConsenSys.
- DBS Group to launch an exchange and will list Ethereum.
Considering the points mentioned above has allowed me to set a LONG ONLY bias. This means until circumstances and the trend change, I will ONLY be looking for entries to trade ETH LONG.
(The trend is your friend)
What is my trading plan moving forward? - Look for LONG entries on the lower time frames for short term swing trades
- Wait for larger pullbacks and retests on high timeframes for larger LONG positions with higher targets.
- Continue with this strategy until a 'reason2sell' is present, for this trade that will be; either the trend changes or my targets are met
BONUS volume profile:
BONUS Bullish pennant for entry:
Never Trust. Verify.
D.Y.O.R. Not Financial Advice, this is my trading journal.
Always remember: Technical Analysis is not about being right, it's about increasing your odds.
Be prepared to be wrong. Risk management is key. Capital preservation above all else.
Note
BE ON HIGH ALERT HERE....Crucial Ethereum Service Infura Suffers Major Outage...
ACCESS TO MANY DEFI PRODUCTS AND SERVICES ARE CURRENTLY DOWN.
YOUR FUNDS ARE SAFE BUT THERE COULD BE A SELL OFF INCOMING DUE TO THE OUTAGE...
PROCEED WITH CAUTION.
Note
Well I guess that shows how bullish this is. No reaction whatsoever...#UberBull
Note
Breakout and retest of all time high... You know what comes next... See you on the moon!
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.