Trading plan for Ethereum for May 19, 2022

Technical outlook:

Ethereum has slipped through $1,900 after finding resistance around $2,165 early this week. The crypto is seen to be pulling back towards $1,950 at this point in writing but the potential remains for yet another shallow low around $1,875. Bulls are looking poised to be back in control thereafter.

Ethereum has already carved a meaningful larger degree bearish boundary between $4,850 and $1,700. Also, note that bears have taken out one-year support at $1,700 with relative ease. A high probability remains for a pullback/counter-trend rally from current levels pushing prices through $3,000 and the $3,500-3,600 zone going forward.

Ethereum has already carved a lower degree upswing between $1,700 and $2,165 within the expected counter-trend rally. It is now looking to form a base around $1,875, which is the Fibonacci 0.618 retracement of the above rally, before resuming higher again. Traders might remain inclined to hold long positions against $1,500 in the near term.

Trading plan:

Potential rally towards $3,000 and $3,500 against $1,500

Good luck!