Ethereum – False Breakout?
Ethereum / Dollar BITSTAMP:ETHUSD
The price tries to break the resistance level and move out of the price channel . After climbing above 140.00 level, we get a bearish candle which is going to confirm a false breakout. If the close price of this bearish candle is below the 140.00 resistance level , we will get a reversal signal. RSI is going to confirm the reversal and the same goes about MACD histogram.
DMI is bullish and confirms trend market conditions. ADX line moves upward supporting the buyers. If the price can move above the local high at 143.85 level, it will confirm further upward movement. The market can form this swing high which should be used for placing pending orders for buy. The breakout above this swing high will open buy positions with profit targets at the resistance zone formed by 160.00 and165.00 levels. Stop orders should be placed below 140.00 level and the nearest swing low.
As the market does not have fundamental support, this movement can be finished at any time. Be careful and follow proper money management!
Source: TW DLavrov