I pointed out in my last EOS update the corrective pattern we were in. If you missed it, you can review it here: https://steemit.com/cryptocurrency/@workin2005/eos-drops-but-for-how-long
EOS has been following the path I outlined for the past 24 hours. I can see the correction finishing up 2 different ways. The first is a little more bearish ABC pattern. If this is true, it may drop to approximately $15.00 to complete wave C. It would look something like this:
The second scenario acknowledges a symmetrical triangle that's formed, which could indicate an ABCDE corrective pattern. If this is true, we may see EOS finish correcting like this:
While volume has dropped over the last few days, it's still relatively decent. This is a good sign. The 30 min MACD has been trending tighter and tighter over the last few days. This could indicate the correction is nearing an end.
Looking at the 4 hour RSI, even with the drop, it's still showing an overall uptrend with consistent higher lows.
Finally, we can see the 55 day EMA is still acting as support. The 8 day EMA has also returned on top of the 21 and 55 day. This is a sign of strength.
If you're unfamiliar with how EMA's work, please review my post explaining how to use EMA's to predict trend changes here: https://steemit.com/cryptocurrency/@workin2005/simple-effective-strategy-to-buying-and-selling-market-trends
BIAS:
Short Term: Neutral
Longterm: Bullish
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