AVAX developed a 5 wave impulsive rally from the October '23 lows.
Wave 3 extended to the 161.8% Fibonacci extension of wave 1-2,
Wave 4 retracing into the 23.6-38.2% Fibonacci retracement of wave 3,
Wave 5 extending into the 123.6-161.8% inverse Fibonacci extension of wave 4.
We are now in a correction and may revisit two important overlapping areas:
1) the 100-161.8% Fibonacci extension of the 3 waves down from the peak at 50's, and
2) the 50-60% retracement from the October lows.
Buying the dips in these areas offers a potential swing trading opportunity.
We will buy at 31.60 with SL at 23.
The highited areas should offer at least a bounce where we will create a risk free position.
Minimum target for the upside is 70-100 area.
Wave 3 extended to the 161.8% Fibonacci extension of wave 1-2,
Wave 4 retracing into the 23.6-38.2% Fibonacci retracement of wave 3,
Wave 5 extending into the 123.6-161.8% inverse Fibonacci extension of wave 4.
We are now in a correction and may revisit two important overlapping areas:
1) the 100-161.8% Fibonacci extension of the 3 waves down from the peak at 50's, and
2) the 50-60% retracement from the October lows.
Buying the dips in these areas offers a potential swing trading opportunity.
We will buy at 31.60 with SL at 23.
The highited areas should offer at least a bounce where we will create a risk free position.
Minimum target for the upside is 70-100 area.
