Ethereum Price Analysis: ETH/USD remains on its way to $260 – Confluence Detector
Ethereum has recovered from the massive drop on June 2 and it’s trading at $239 at the time of writing. What are the most important levels for ETH/USD now?
The Technical Confluences Indicator is showing a significant amount of resistance at $239.65, the convergence of the 15-min SMA10, and SMA5.
More resistance can be found at $240.48 where the previous hourly and 4-hour highs have formed as well as the upper line of the 15-min Bollinger Band.
There seems to be a lot of support for Ethereum, the nearest at $238.6, the 15-minute SMA50, and at $237.99 where the 4-hour SMA5 and the middle line of the hourly Bollinger Band are converging.
Confluence Detector
The Confluence Detector finds exciting opportunities using Technical Confluences. The TC is a tool to locate and point out those price levels where there is a congestion of indicators, moving averages, Fibonacci levels, Pivot Points, etc. Knowing where these congestion points are located is very useful for the trader, and can be used as a basis for different strategies.
This tool assigns a certain amount of “weight” to each indicator, and this “weight” can influence adjacent price levels. These weightings mean that one price level without any indicator or moving average but under the influence of two “strongly weighted” levels accumulate more resistance than their neighbors. In these cases, the tool signals resistance in apparently empty areas.
Author
FXStreet Team
FXStreet
