Hello everyone, we are back with another blog post, this one, being at a completely reasonable time for once. It is a beautiful Saturday and I look forward to charting quite a bit as a way to prepare for this coming week. I have a feeling that these next couple of weeks are going to be quite exciting, but only time will tell!
Elliott wave analysis: It appears to me, that we have just finished a wave a, and wave B, and are looking to start the wave c of a move upwards. On the larger time frame, we have just retraced from a major peak and are probably looking to visit the 0.8 retracement of this drop. As a result, the target for wave c is the 2.0 extension of wave one, which is 5.71842, and the stop loss is right under the most recent low.
Macd analysis: The macd isn't telling me too much right now, besides the fact that on the larger time frames, we have entered the positive zone. On the 3 hour we appear to be just hovering above the zero line, which means many things can occur. We can completely jump up, or we could cross back downwards. On the price action will confirm either of these ideas, but I do have a stronger sensation we are headed to the upside.
RSI analysis: The RSI on the 3 hours is telling me that a breakout above the rsi resistance is possible. This is because we have bounced off of the resistance 3 times, but most recently we have bounced off of the RSI support. This tells me that the support is even stronger than all the bearish momentum that has built up from the resistance. In purple you can find what I expect to happen with the RSI.
All in all I think that we are headed quite a ways up. The risk to reward for this trade is also quite beautiful. We have a 2.6, which means this is definitely a trade I will take.
Anyway, enjoy the rest of your day and goodluck trading this week.
Elliott wave analysis: It appears to me, that we have just finished a wave a, and wave B, and are looking to start the wave c of a move upwards. On the larger time frame, we have just retraced from a major peak and are probably looking to visit the 0.8 retracement of this drop. As a result, the target for wave c is the 2.0 extension of wave one, which is 5.71842, and the stop loss is right under the most recent low.
Macd analysis: The macd isn't telling me too much right now, besides the fact that on the larger time frames, we have entered the positive zone. On the 3 hour we appear to be just hovering above the zero line, which means many things can occur. We can completely jump up, or we could cross back downwards. On the price action will confirm either of these ideas, but I do have a stronger sensation we are headed to the upside.
RSI analysis: The RSI on the 3 hours is telling me that a breakout above the rsi resistance is possible. This is because we have bounced off of the resistance 3 times, but most recently we have bounced off of the RSI support. This tells me that the support is even stronger than all the bearish momentum that has built up from the resistance. In purple you can find what I expect to happen with the RSI.
All in all I think that we are headed quite a ways up. The risk to reward for this trade is also quite beautiful. We have a 2.6, which means this is definitely a trade I will take.
Anyway, enjoy the rest of your day and goodluck trading this week.