Recently the crypto market has been moving in stark synchrony with the US stock market. To stress that I am using the same cover image for the post and the headline. The only difference is that I see the move in crypto as nearing its destination for the time being while the US stocks can go long way. We'll see.
My sincere apologies for issuing the Weekly Update one day late. I am travelling across many time zones this week for meetings. Previous Week Our ETHUSD outlook has been nearly perfect. The imperfection on the chart below is that wave c turned out to be of a different shape and that's it. Other than that we do not have much to analyse here. ETHUSDT, Daily Chart
The #crypto market moved yesterday in synchrony with #stocks. All this is in line with our #bearish view of the WXY correction as part of longer-term consolidation in ABCDE. Shorter-term fluctuations are harder to count. I indicated a couple of scenarios where the red one is less likely to me. As said earlier, I would expect wave b to be more pronounced. If markets hold today, crypto may go into the weekend, tracing a more complex ABCDE triangle to complete B and sell-off nex
I feel obliged to update you that we apparently finished wave (x), unless it is a triangle and start drifting up to complete wave B (circled) before sell-off resumes. No trading setups at this point, just watching charts. 4-hour chart
Past Week Performance Last week we successfully called the breakout of the triangle and then the local bottom of wave a. We spotted the bottom as the price formed an expanding ending diagonal with divergence on the RSI indicator (see below). Next Week Outlook This week we anticipate a resumption of a decline, as to when exactly - this is yet to be confirmed. Waves b are difficult to forecast as they can take almost any shape. Follow our Daily Analytics for any signals. ETHUSD
Our ETHUSD outlook published earlier proved to be spot on so far. The price finished wave a and bounced. It has now reached 50% retracement of wave a, which is sufficient, however, the shape of the bounce looks far too simplistic to consider it complete. Please see the chart below. A 3-month FREE subscription is available under the Holidays Offer. ETHUSD, 4hour chart