Ethereum (ETHUSDT) Daily Long&Short Trade Setups 2021/03/17

17 мар. 2021 г.

Market Overview

• Price Action: Ethereum dumped hard, found at temporary bottom at $1711, where we took a very profitable long trade. Price has, however, failed to break above to 200MAs, which we need to see in order for bearish momentum to shift to bullish momentum, otherwise we risk having a larger fall after this brief rally
  
• Chart Patterns: There is a parallel channel that looks like a large bull flag. A break above the upper end of the channel will indicate a larger move up to $1900+.
  
• Areas of Interest: The area(s) of interest for me are the 61.8Fib @ $1855 and the support @ $1711. Once price reaches one of these areas, I will monitor for entry confirmations. If the entry confirmations are aligned, I will take a trade and share the my trade in real time.
  

Trade Setups
Below are the potential trade setups that I would be interested in trading:

Long Trade Setup #1: False Breakdown
1. Price Action: Price breaks below the then rapidly climbs above $1711, forming a bear trap
2. Trade Entry Confirmations: A breakdown candlestick  followed by a reclaiming candlestick, above average volume on both breakdown candle and reclaiming candle, MACD bottoming

Short Trade Setup #1: Retest and Continuation (61.8Fib)
1. Price Action: Price needs to move back up to the 61.8Fib @ $1855 and bounce back down.
2. Trade Entry Confirmations: Bearish candlestick pattern, above average volume, MACD topping out

My Recent Trades

• 2021/03/16: I had a winning trade! I entered a long @ $1738, with Stop Loss @ $1718, and price reached a high of 1803.9, giving a risk reward ratio of 3.3:1.
  
• 2021/03/05: I had a winning trade! I entered a long @ $1,540.0, with Stop Loss @ $1,522.4, and price reached a high of $1,670.0, giving a risk reward ratio of 7.4:1.
  
• 2021/02/21: I had a losing trade. I entered a long @ $1,970.0, with Stop Loss @ $1,868.6, and stop loss hit.
  

DISCLAIMER: I am NOT a financial advisor and this post is NOT financial/investment/trading advice. I am simply sharing what I am doing, and I will not be responsible for any actions you take based on the analysis and comments that I provide. The cryptocurrency market is extremely volatile, and you WILL lose all your money if you are inexperienced! DO NOT risk any money that you cannot afford to lose and always be cautious and manage your risk!

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