$BCH - Bulls should get their turn soon - (50-70%) bounce
Similar to my recent posts on $ETC, $ETH, I see BCH on the last leg of this 6 month downtrend in the form of 5th wave of a leading diagonal. Expecting a drop to $160-$170 and then an easy 50-70% rally for the next few weeks (2 months?)
However, leading diagonal signals the beginning a new bigger downtrend and I expect the price to eventually drop below $100 after the bounce. This is also in alignment of my macro charts on $ETC, $ETH (see linked charts), the assumption that early 2019 rally was a bull trap as appears to be in 3 waves (green ABC)
If this assumption is correct, the 50% bounce itself will be in 3-waves (ABC)
A more bullish version is that we just finishing a red ABC correction and we are in the last leg of the C wave, so the bounce could take out the highs or reach to the top. Confirmation is break above $300
In both cases, I expect a bounce
Confirmation for this idea is when we breakout of the diagonal. I believe ROI for longs is better in the next 1-2 months
However, leading diagonal signals the beginning a new bigger downtrend and I expect the price to eventually drop below $100 after the bounce. This is also in alignment of my macro charts on $ETC, $ETH (see linked charts), the assumption that early 2019 rally was a bull trap as appears to be in 3 waves (green ABC)
If this assumption is correct, the 50% bounce itself will be in 3-waves (ABC)
A more bullish version is that we just finishing a red ABC correction and we are in the last leg of the C wave, so the bounce could take out the highs or reach to the top. Confirmation is break above $300
In both cases, I expect a bounce
Confirmation for this idea is when we breakout of the diagonal. I believe ROI for longs is better in the next 1-2 months
Comment:
Here is an 8H close-up of this drop, the larger count is different, but still points a decent rally after the drop
Trade closed: target reached:
We reached our target zone
