EOS price analysis: EOS/USD head and shoulders pattern focus on tested neckline
- Head and shoulders pattern has formed on the daily time.
- A break of the neckline could open doors for large downside.
The EOS price has consistently been under pressure during Wednesday’s session. Across the crypto market has observed a cooling in prices, without any particular fundamental catalyst driving this move.
Bears are dictating the current trend within the market this week and excreting much selling pressure. EOS/USD can be seen forming a head and shoulders pattern on the daily time frame, the price currently testing the neckline.
Looking technically, should the price breach and close below the neckline, which is at $6.25, could open door to some large downside. A drop could be as much as 50%, towards the lows seen in December at $3.22. On the flipside, should the price regain bullish momentum, next upside target seen back at the $9.00 region.
EOS/USD daily time
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Author
Ken Chigbo
Independent Analyst
Ken has over 8 years exposure to the financial markets. He started his career as an analyst, covering a variety of asset classes; forex, fixed income, commodities and equities.
