Now that we have more information we can begin to build a case of probabilities. we made 5 beautiful waves down from the top. so im looking for a bounce to the fibonacci golden zone and a further correction down. the golden zone is between the .618 and the .65 fib range.
it seems to be backed by the idea that this bounce is happening on decreasing 4hr and daily volume.
we do have an area of fibonacci confluence at the 78.6 fib range and even breaking the last high. As a trader we must protect our profits and minimize risk.we do that by exiting trades at our most probable targets even if you dont make as much.
it would be wise to take profits as price rises here because the 4hr exponential moving averages are still below the 200 ema. On the daily chart the 21 ema is below the 55 ema.
Although we have rsi divergence on the daily chart, that doesnt mean we cant get pulled back down another leg. if this was my trade i would seriously consider taking profits at the golden zone and watch the rest play out.
my next entrance would at the break of the all time high or down below if price meetss the weekly 200 exponential moving average.
just in case you are wondering the values to my exponential moving average lines are 8, 13, 21, 55 ,200 the only one here that is not a fibonacci number is the 200 ema
i hope this has helped you in your own analysis with a different perspective. thank you for your time and good luck!
rigo
it seems to be backed by the idea that this bounce is happening on decreasing 4hr and daily volume.
we do have an area of fibonacci confluence at the 78.6 fib range and even breaking the last high. As a trader we must protect our profits and minimize risk.we do that by exiting trades at our most probable targets even if you dont make as much.
it would be wise to take profits as price rises here because the 4hr exponential moving averages are still below the 200 ema. On the daily chart the 21 ema is below the 55 ema.
Although we have rsi divergence on the daily chart, that doesnt mean we cant get pulled back down another leg. if this was my trade i would seriously consider taking profits at the golden zone and watch the rest play out.
my next entrance would at the break of the all time high or down below if price meetss the weekly 200 exponential moving average.
just in case you are wondering the values to my exponential moving average lines are 8, 13, 21, 55 ,200 the only one here that is not a fibonacci number is the 200 ema
i hope this has helped you in your own analysis with a different perspective. thank you for your time and good luck!
rigo