Please be advised that this is only an idea, so you are responsible for any losses yourself.
I hope you have been able to avoid big losses by following my ideas and on Twitter and here. This was more than a correction. This was a crash! Most coins do not look good for the short term. In my opinion Ethereum is the first coin that is ready for recovery. We needed to see a correction like this to gain power to reach higher levels again. Nothing goes up in a straight line.
After we broke our strong support, (A) we immediately saw a crash. This happened with almost all coins yesterday.
Ethereum has tested his strong support twice, blue support line (1). We also find our fibonacci level here. 0.618. This is also a strong support normally. Because the other big currencies look worse for the short term, I advise you to always use a stop loss. A close below the blue support line towards our 50ma (yellow line) and the dotted line.
I've more information for this chart but I'm very busy at the moment, so I don't have time to type it. But I had to share this idea with you. I'll update it later.
Target 1: 1034
Target 2: 1210
Target 3: 1389
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If this happens we are ready for the bounce :-)
2 confirmations! Let's do this!
Alright, we are going up again. :) We don't have real resistances on our way up. 20ma could be a resistance and next real resistance is the dotted line (2)
We need a close above the support line (1) to continue our uptrend after the correction (crash). We are currently trading above support.
Our channel for coming hours
Ethereum is te strongest coin in the top 5 today. We tested resistance (2) but it failed to break. We need a close above support line (1) to continue our uptrend towards $1400,-
We still need a close above support (1) every day. Hourly we just beated the 50ma, a strong resistance and support level during last week. This could be a new support level for the short term.
A test of resistance (2) is possible today. If this doens't happen I expect a break within 3 days. Were (1) and (2) crosses.
We just broke an important resistance level again. Furthermore a new support level is formed.
Target 2: Reached :)
I took some profit, but I have still a large position in ETH.
Hourly, we see some oversold conditions. So a quick pullback towards the dotted lines is possible. If this doesn't happen next hour. We will find some resistance around 1294.
For the longer term, macd already gives us a buy signal. This is a good signal to reach our final target.
Now we have confirmation on Poloniex too :-) Good luck!