Who’s up for a swing trade or two?
Ethereum looks ready for a reversal while GBP/JPY is hanging out at an established resistance.
Think you can make pips from their setups this week? Check it!
ETH/USD: 4-hour
Just last week Ethereum (ETH/USD) busted above a trend line resistance that bears had been taking cues from since December 2021.
I’m looking at ETH/USD today because not only had ETH gone back to retest the trend line, but it also looks like it’s ready to take support from the zone.
And why not? As you can see, the broken trend line lines up with the $3,000 major psychological resistance, the 38.2% Fibonacci retracement of January’s upswing, AND the SMA crossover on the 4-hour chart. Coincidence? I don’t think so!
You can buy at current levels if you’re confident on a bullish reversal for ETH/USD. Just watch out for February’s highs in case it serves as resistance for another day!
If you’d rather sell ETH, then you’ll want to do it after ETH/USD dips back below the trend line that we’ve marked.
GBP/JPY: Daily
Here’s one for the range playas out there!
Guppy is poppin’ up consolidation candles in the 156.50 – 157.00 area. As you can see, the zone has held as resistance at least thrice since mid-2021. Stochastic is even showing us overbought signals!
Shorting at current prices could make for a good trade if you’re betting on $157.00 holding again this week. You can target mid-range levels near 154.00 or you can aim for 149.50 depending on momentum.
We can’t rule out a breakout, though! If you see GBP/JPY trading above December’s highs, then you gotta be ready to aim for potential inflection points like 162.00 or 174.00.
