ETH’s pattern played out exactly as predicted thus far. Closed near the lows then went a bit lower and reversed on the next day. Now the question is do we see 3 or more days of upside from here?
It’s too late in the up cycle of ETH to blindly speculate. However, this is a solid time to add to a position as long as you ahve a clear exit strategy. I do:
If we drop below yesterday’s low (around 12.60 USD) then the probabilities say more downside will follow.
The challenging part is to wait to find a quality entry for the additional position. Close to yesterday’s low, but now too close as momentum will increase the probabilities it will break that support.
If ETH drops a bit here to my target, and the indicators confirm, I’ll add to my position today. If I don’t get the price I want, or it doesn’t happen today, I’ll stay with my current longer term position.
The patterns must be right, the indicators must confirm, and the risk must make sense for the probability of success, or I’ll let a buying opportunity pass and stick with the more conservative investment approach.