Ethereum Price Rally Stalls Ahead of Key Resistance Targets
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- Ethereum takes out initial resistance targets- Broader focus is higher while above 315
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ETH/USD Daily Chart
Technical Outlook: We’ve been tracking this rally in Ethereum prices since the breach above the November opening range earlier in the month with the advance already taking out initial targets at 350 & 362. Critical topside resistance objectives are eyed at the high-day close at 385 backed by the record high at 405. Interim support now rests back at 349 with bullish invalidation now raised to 315/20. A break below the monthly open at 304 would be needed to put the bears in control.
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ETH/USD 240min Chart
Notes: A closer look at price action shows Ethereum breaking above channel resistance before checking this slope as support last night. Note that the near-term momentum profile looks a bit tired here and leaves the immediate advance vulnerable. Bottom line: while we could see some pullback from here, the outlook remains weighted to the topside and we’ll favor fading weakness while above 315.
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– Written by Michael Boutros, Currency Strategist with DailyFX
Follow Michael on Twitter @MBForex or contact him at [email protected]