ETH/USD’s recent downtrend to 421 levels found support near trend line joining 202.25 and 360. It is currently trading at 449 levels at the time of writing (Coinbase).

On the topside, the pair will run into resistance at 480 (7-DMA) and a break above would target 502 (trend line joining 828.97 and 547.40)/512 (20-DMA). Further strength would target 542 (4h 200-SMA)/567 (100-DMA)/590 (50-DMA).

On the downside, the pair has found support near 428 (trend line joining 202.25 and 360) and any violation would drag it to 400/368 (113% extension of 828.97 and 547.40)/350 (1w 90-EMA).

Momentum studies: Technical indicators suggest bearish bias on the daily chart. The bear flag pattern also supports further downside.

Call Update: We recommended staying short in our previous call. All the targets have been hit.

Recommendation: Book partial profits, stay short. Trail SL to 520. TP: 400/370.