ETHUSD had a corrective day yesterday. Yesterday’s daily candle engulfed the day before yesterday’s daily candle. However, daily price action suggests that the price may continue to head towards the North. Today’s intraday price action has been bullish as well so far. If today’s candle closes above yesterday’s opening price, traders may go long on the pair and grab some green pips. Let us have a look at the daily ETHUSD chart.
The Daily Chart
The arrowed candle is yesterday’s daily candle. Since it closed below its last daily candle, it might make today’s bullish move a bit sluggish. Since the trend started with a good-looking daily engulfing candle, it has a strong possibility to keep going upwards. In this case, today’s candle is to close above yesterday’s opening price. If that happens, the daily traders will get engaged themselves to go long on ETHUSD.
Let us have a look at the H4 chart to find out what it has to offer to the traders.
The H4 Chart
The H4 chart shows that after making a breakout at the level of 302.85, the price went up to the level of 317.55. The price started having a correction from the level of 317.55; came up to the breakout level, produced an H4 engulfing candle. This price action suggests that an H4 breakout at the highest high would attract the buyers to go long on ETHUSD. The next significant level of resistance is 355.40 as far as the H4 chart is concerned.
Entry: H4 breakout at 317.55
Stop Loss: Below 302.85
Take Profit: 355.40
The Bottom Line
The daily chart as well as the H4 chart look good to go long. The daily traders may join the game tomorrow. The H4 traders are going to eagerly wait for an H4 breakout. Let us wait and see how it ends.