ETH/USD Update 7/30 - Breaking the Triangle

coinsholar (31)in #analysis • 6 years ago

Daily

The past two days brought us under the Tenkan and even breaking downward out of the triangle down to a previous local low of about $450 USD. The price action reversed with the candle closing on the trend line.

The current daily candle opened on the trend line with a weakening RSI and Stoch. This is leaning towards a bearish tendency, where we may see a lower low back to a retest of the $430 USD area.

In the event of a bullish turn, we need to keep in mind the first goal of hitting the Kijun which lies at a local high of about $515 USD.

4-Hour

A closer look expands the view of the break out of the triangle where two entire candles were printed out of the triangle with the second closing on the trend line. Should the next candle close outside of the triangle, we may likely see a few more bearish candles follow suit.

It should be noted that Stoch has reset into oversold territory and RSI remains low, giving plenty of room for upward movement should the markets decide to do so. Another TK cross continues to confirm market indecision while thin Kumo clouds continue to be formed.