In its previous reversal (Dec. 2018 - May 2019), EOS made it near the 0.382 retracement, reaching the top descending resistance line. Currently we kinda have the same conditions: we reached the 0.382 retracement based on our most recent movement, touching again the almost 2-year-long descending resistance line.
However, the RSI hasn't reached the top reference line like in the previous cases and the MACD shows an increasing Histogram, which is a bullish sign. For us to successfully break out of this triangle, we'll have to close the weekly candle above 5$. But IMO I don't think we have enough momentum to break this resistance and therefore I'm looking to enter a short position.
Further signs that a correction is on its way: we have a rising wedge, that usually ends up breaking the lower line (like in the attached image). Also, we have bearish divergences on the RSI and TSI. It's possible for us to reach in the upcoming weeks the 0.382 Fibonacci retracement, touching the 55 day EMA (blue) - at around 3.8$. Worst case we could see the price reaching the 0.5 region, where the 200 day MA (grey) is to be found - 3.3$.
A similar descending resistance line is here too, but we couldn't make it that high so far. We're currently approaching the 0.236 Fib. retracement and the 55 weekly EMA and will in case of a correction probably revisit the 21 weekly EMA (yellow). I could see EOS retouching the descending trend line sometimes in March, after re-touching the 21 EMA.
