FX.co ★ Trading plan for Ethereum for April 07, 2022

Technical outlook:

Ethereum further dropped through $3,150 lows during the Europe Session on Thursday. The crypto has slipped just below its past resistance turned support zone and it is expected to find interim support here. Bulls will be now poised to resume higher and push through $2,800-4,000 mark in the next few trading sessions.

Ethereum seems to have now completed its correction that had begun since $3,550 highs earlier. Also note that the crypto is unfolding into its counter trend rally since $2,100 lows and could be into its last leg higher towards $3,800-4,000 mark, before bears are back in control. Watch out for a push above $3,550 for further acceleration.

Ethereum had earlier dropped from $4,850 highs through $2,100 interim lows, carving a meaningful downswing. It is being worked upon right now as prices could reach up to the Fibonacci 0.618 retracement close to $4,000 mark. Also note that potential Right Shoulder of the proposed Head and Shoulder reversal pattern is seen passing through $4,000 mark as well.

Trading plan:

Potential rally through $3,800-4,000 against $2,100 then reversal.

Good luck!