ETH/USD is continuing its downtrend and has broken below 300 levels. It is currently trading at 288 levels at the time of writing (Bitstamp).

Ichimoku analysis of daily chart:

Tenkan Sen: 316.49

Kijun Sen: 313.75

The upside of the pair is capped by 5-DMA at 297 levels and a break above would target 305 (1w 5-SMA)/312 (10-DMA). Further strength would see it testing 349 (October 16 high)/388 (trend line joining 404.99 and 395)/404.99 (June 12 high).

On the flipside, support is seen at 286 (100-DMA) and a break below would target 257 (61.8% retracement of 201.28 and 349.50)/ 242 (trend line joining 134.78 and 201.28)/231 (200-DMA).

Momentum studies: Bias appears bearish on the daily chart with RSI weak at 39, MACD line below the signal line, and stochs in the oversold zone. Moreover, 5-DMA is biased sharply lower and the pair has broken below cloud.

Recommendation: Good to go short on break below 286. SL: 315. TP: 257/242.

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