- EOS grinds higher in the confines of an ascending channel.
- Trading past the channel resistance could open the way for a retracement towards $4.0 (supply zone).
EOS bulls are flexing their muscles on Friday during the Asian hours. This is a sign of an action-filled session during the weekend. The crypto market is relatively in red. The drab trading is happening after traders took profit due to Wednesday’s brief surge. Apart from EOS, other selected digital assets in the green are Bitcoin Cash (BCH) and Ethereum Classic (ETC).
EOS commenced the session at $3.12 and touched $3.16 to the upside. There has been a lower action with the bears inching closer to $3.0. However, an intraday low has formed at $0.309 before the current northwards adjustment.
The ascending channel has been tested severally on both sides. EOS bulls must breach $3.2 immediate resistance and focus on trading above $3.4. With a shift in the target above the channel resistance, correction towards $4.0 (supply zone) will be an easy achievement.
Meanwhile, offering immediate support is the 50 Simple Moving Average (SMA) on the four-hour chart. The Relative Strength Index (RSI) is lethargic at the average suggesting sideways trading as the most probable direction. Similarly, the Moving Average Convergence Divergence shows (negative divergence at +0.03) that the bears are keen on tightening their grip.
EOS/USD four-hour chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.