ETH/USD failed to hold above 10-DMA and has slipped below the 300 mark. It is currently trading at 298 levels at the time of writing (BTC-e).

Ichimoku analysis (Daily chart):

Tenkan-Sen: 283.25

Kijun-Sen: 316.56

On the topside, the pair is facing stiff resistance at 309 (trend line joining 371 and 315). A close above 303 (10-DMA) would see the pair testing 328 (20-DMA)/ 340 (61.8% retracement of 417 and 216.51). Further strength would target 371 (June 18 high)/417 (June 12 high).

On the downside, the pair is hovering around 281 (5-DMA) and any violation would drag it to 268 (4h 20-SMA)/231 (50-DMA). Further weakness would see it testing 187 (90-EMA)/173 (78.6% retracement of 107.06 and 417).

Momentum studies: On the daily chart, MACD line is below the signal line and RSI is at 50, with lower bias.

On the 1-hour chart, the pair is trading just above 283 (100-EMA), with RSI weak at 45 and the MACD line below the signal line. A break below this level would see some bearishness in the pair.

On the weekly chart, the pair is trading just shy of 5-SMA at the time of writing. RSI is strong at 78 and MACD line is above the signal line. Stochs seemed to have rolled over from the overbought zone. A close below 5-SMA, coupled with a rollover of stochs and RSI from the overbought levels would confirm further bearishness in the pair.

Recommendation: Good to go short on close below 281. SL: 309. TP: 231/216.

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