ETH/USD Update - 2 Scenarios I'm Watching For Continuation

We rejected at the 1.27 and it appears that Ethereum is setting up for another leg to the downside. As of now, what we saw was a perfect 3 wave pullback, making it more and more difficult to make the case for moving up impulsively instead of moving up correctively. It will depend on what kind of move we get to the downside here, but my primary target for support will be at $421-$423.

The second count that I am watching is a potential broadening descending wedge B wave. If this begins to play out, I expect ETH to find support at the 50% Retracement or as low as the 61.8% Retracement around $402. Either way, it appears that we will have to reach the upper targets in a corrective fashion.

Commentaire:

Pullback target reached