Extreme Volatility Shadows Speculative Decisions

[ad_1]

ETH/USD has been able to reverse higher off of extreme lows which were displayed this Saturday, but speculators should remain braced for more volatile conditions.

ETH/USD is trading near 1135.00 as of this writing.  Speculators can double check current prices to monitor the movement Ethereum has demonstrated compared to this article as a way to judge momentum within ETH/USD. After hitting a low of nearly 880.00 this past Saturday, ETH/USD has been able to produce upwards momentum. However, traders who have been attuned to Ethereum over the long term know that a bearish trajectory remains troubling.

Advertisement

If ETH/USD can maintain its current price above the 1100.00 in the short term, that could create the prospect for very speculative bets on upside prospects. However any trader who dares to look for higher movement from ETH/USD will not only have to be brave, but they will need to be using their entire gauntlet of risk taking tactics. Trading in Ethereum today and near term should include entry price, stop loss and take profits orders. Simply put the possibility of ETH/USD suddenly becoming volatile is rather good. Short term moves higher do not guarantee that a solid upwards climb is going to be maintained.

The broad cryptocurrency market remains a dangerous place to speculate. Traders who remain skeptics and believe more downside momentum will be generated within ETH/USD and the other major cryptocurrencies may be making the logical choice, but being able to capture moves lower will also need a solid dose of risk management. Large percentage changes of value can make a trader profitable, but wrong moves can also be costly.

If ETH/USD breaks below the 1100.00 mark this could spark additional selling in ETH/USD.  A move to 1075.00 in Ethereum would not be a welcome site if price velocity bursts forward. Support below the 1050.00 level should be monitored, because if this level proves vulnerable another move to lower depths could develop.  Another move below 1000.00 in the near term would be a bad signal for ETH/USD and greater declines could ensue.

Traders should not be overly ambitious in the current market, they should be willing to cash out profits when they are satisfied, this before watching money vanish into thin air when reversals develop which go against the chosen direction of a desired target. The ability of ETH/USD to climb higher the past couple of days incrementally should serve as strong reminders price movements do not happen in only one direction, even if there is solid trend to observe. 

Ethereum Short Term Outlook:

Current Resistance: 1158.00

Current Support: 1088.00

High Target: 1284.00

Low Target: 933.00

ETHUSD

[ad_2]

Leave a Reply

Your email address will not be published. Required fields are marked *

Risk warning: Trading Forex (foreign exchange) or CFDs (contracts for difference) on margin carries a high level of risk and may not be suitable for all investors. There is a possibility that you may sustain a loss equal to or greater than your entire investment. Therefore, you should not invest or risk money that you cannot afford to lose. Before using xMetaMarkets services, please acknowledge all of the risks associated with trading.

The content of this website must not be construed as personal advice. We recommend that you seek advice from an independent financial advisor.

The information on this website is not directed to residents of certain jurisdictions such as United States, Canada, Iran, Cuba, France, and some other regions, and is not intended for distribution to, or use by, any person in any countries or jurisdictions where such distribution or use would be contrary to local law or regulation.

© 2018 - 2024 xMetaMarkets.com. All Rights Reserved.