ETH/USD is consolidating in a narrow range on Tuesday and trading at 535 levels at the time of writing (Coinbase).
On the upside, the pair faces resistance at 553 (4h 20-SMA) and a break above would see it testing 576 (20-DMA)/594 (Cloud bottom). Further strength would target 615 (55-EMA).
On the flipside, a decisive break below 500 levels would see the pair testing 460 (78.6% retracement of 360 and 828.97)/ 419 (127.2% extension of 828.97 and 507)/400.
Momentum studies: Bias remains bearish on the daily chart with RSI weak at 38, stochs near oversold levels and bearish MACD crossover. Major moving averages are biased lower and the price action is well below major EMAs, further supporting bearish bias.
A break below 500 levels would confirm further downside in the pair.
Recommendation: Good to go short on break below 500. SL: 580. TP: 460/420.
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