EOS rallied by 3.62% on Thursday. Partially reversing a 4.71% slide from Wednesday, EOS ended the day at $3.6440.
A choppy start to the day saw EOS rise to a morning high $3.5739 before sliding to an early morning intraday low $3.4575.
EOS left the major support and resistance levels untested in the early hours.
Finding support from the broader market, EOS rallied to a late afternoon intraday high $3.7154.
The broad-based crypto rally saw EOS break through the first major resistance level at $3.6845 before succumbing to a market pullback.
A late broad-based crypto pullback left EOS back at $3.64 levels at the day end to limit the upside.
For the current week, Thursday’s rally cut the weekly deficit to 1.38%. It’s been a bearish run since mid-June. Following a 23.3% slide in July, EOS was down by 17.6% for the current month.
In spite of the sell-off since mid-June, however, EOS us up by 38.7% year-to-date.
The extended bearish trend remained firmly intact despite the current year gains. A pullback from a June current year high $8.6503 back through the 23.6% FIB of $6.62 reaffirmed the bearish trend formed at April 2018’s swing hi $23.029
At the time of writing, EOS was down by 0.39% to $3.6298. A choppy start to the day saw EOS slide to an early morning low $3.6050 before finding support.
Steering well clear of the first major support level at $3.4959, EOS bounced back to an early morning high $3.6655.
In spite of the rebound, EOS fell short of the first major resistance level at $3.7538 to ease back into the red.
For the Day Ahead
A move back through the morning high to $3.70 levels would support a run at the first major resistance level at $3.7538.
EOS would need to steer clear of the morning low $3.6050 to support a rebound later in the day.
Continued support from the broader market would be needed, however, for EOS to break out from Thursday’s high $3.7154.
Barring an extended crypto rally on the day, EOS will likely face plenty of resistance at $3.70 to limit any upside.
Failure to move back through the morning high to $3.70 levels could see EOS slide deeper into the red.
A fall through the morning low $3.6050 would bring the first major support level at $3.4959 into play.
Barring a crypto meltdown, EOS should steer well clear of the second major support level at $3.3477.
Looking at the Technical Indicators
Major Support Level: $3.4959
Major Resistance Level: $3.7538
23.6% FIB Retracement Level: $6.62
38.2% FIB Retracement Level: $9.76
62% FIB Retracement Level: $14.82
The article was written by Bharat Gohri, Chief Market Analyst at easyMarkets