EOS Price Analysis: EOS/USD rising wedge spells potential danger for latest recovery
- EOS price was trading in minor negativity in the late part of Friday’s session, down just some 0.3%.
- EOS/USD has been making decent progress on recovery over the past three days, gaining over 20%.
- Despite recent upside seen, there is a potential danger looming, which is that of a rising wedge pattern.
EOS price on Friday was seen nursing some very minor losses of just 0.3%, in the latter stages of the session. EOS/USD has maintained decent upside momentum over the past three sessions, within a very choppy trading week.
EOS/USD since the 25th September, the price has gained a whopping 20%, as it attempts to cover decent ground of recovery. This comes after heavy profit taking was seen at the start of the week, which follows the chunky rallies seen in the week before.
Technically, given the current price behaviour, having formed a rising wedge pattern for EOS/USD, there is danger of a potential breakout to the downside. Support in the near-term is eyed at 5.77, the lower trend line of the rising wedge, a breach could see a very fast fall back down to 5.00. Resistance to the upside is seen at 6.15, a supply area and also the upper part of the rising wedge.
EOS/USD 4-hour chart
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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.
