ETH/USD trades lower on Thursday as it broke below the trend line support joining 201.28 and 276. It is currently trading at 281 levels at the time of writing (Kraken).

Ichimoku analysis (Daily chart):

Tenkan-Sen: 294.50

Kijun-Sen: 312.75

On the upside, resistance is seen at 296 (10-DMA) and a break above would target 304 (20-DMA)/ 321 (61.8% retracement of 395 and 201.28). Further strength would see it testing 349 (October 16 high)/369/395 (September 01 high).

On the downside side, a break below 277 (Cloud bottom) would drag the pair to 257 (61.8% retracement of 201.28 and 349.50)/244 (200-DMA). Further weakness would see it testing 233/201 (September 15 low).

Momentum studies: Bias has turned bearish on the daily chart as the pair broke below major trend line support. RSI is weak at 38, stochs are biased lower, and MACD is on the verge of a bearish crossover.

Recommendation: Good to go short on break below 277. SL: 305. TP: 257/244.

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