Several possibilities of trades in each direction, also I talking about very important rules of the Elliot Wave Theory:
Impulse wave definition corrective wave definition Fibonacci forecasting leading diagonal definition alternation rule by Elliot Theory
Please make your self comfortable and enjoy, if you have any questions or enlightenment, please comment and follow my channel.
Cheers!
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Another thing I'de like to mention is this explanation, this is for more advanced traders, but if you are not considering your self as one, you can still read and learn and if you have any question I'm here to help!
In the picture, you can see the RED trendline and the GREEN one, I will talk about each and one of them separately and then, in the end, will combine tham together, please stay tuned:
RED: first of all, this trend is by the book! 1st and 5th wave are equal length, 3rd wave is 1.618 of the 1st wave, 2nd wave was bit shallow correction and so, by the alternation rule, the 4th wave was a deeper correction.
GREEN: a corrective wave of ABC, wave A is an impulse, wave B is a simple zigzag, and wave C is an impulse. An impulse wave is made of 5 smaller degree wave, so the big A is made of 5, the B is made of 3 (retraced to 61.8 fib level), and C is the most complex (made of 5 smaller degree wave) one in the series and most of the time his length is equal the length of wave A.
COMBINING OF THAM: The triangle is the daily is made of waves that retraced at 78.6% fib ret, by my analysis, by the GREEN trand line, at the c wave is reaching to 78.6% fib ret of the previews move, than our D point in our bigger triangle will marge and only than we will be going down to new low's.
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Same idea... a small update, after an impulse wave which is A wave, we came down to 9800$ as B wave, and now it looks like we initiating the final C wave which is Impuls as well.
If the first wave A weren't combined out of 5 waves, we could think it may be the starting of a flat correction (3,3,5) BUT the first A was is 5 waves old and that is a clue for us to understand the correction should be a zig-zag correction, in a zigzag correction the B wave go up to 50% fib ret of the previews wave (you can check it for your self, the GREEN B wave 50% out of the first A wave).
So now by the Elliot wave theory, it seems we will go bit down till 61.8% fib ret as you see at the picture, and go for the 3rd wave run as a compound of 5th impulse
@ricebang, Thank you buddy, Hope you'll get some good decisions out of it ;)
chartcutie
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Great chart and analysis! Thank you!! I just published my very 1st chart idea a little while ago!!!
josque
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@getchart, Thank you appreciate your time and comment, you are more than welcome to join my channel, follow my ideas and get refreshing updates about the crypto sphere!
and shore Ill look at your profile as well bro!
Best of luck!
crushinata
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Your conclusion is similar to mine but we got there with totally different methods! Very interesting, cheers.
Thanks for your post on Bitcoin. I was following it - and - just had a few questions:
1. I tried to label the Triangle. Is the A-B-C-D-E pattern below correct?
2. If the labeling is OK, then :
--> I have Wave "D" as being composed of (a)-(b)-(c). When doing a "Zig-Zag" (highlighted in Orange), the 78% on the "Zig-Zag" seems to match up with the "61.8" Retrace (seen with the Rainbow Colors). I made a <----> to identify the two as being equal.
The only thing is is that the Price is covered (heavily) by the EMAs and the EMA Ribbon (I will try to add pictures).
QUESTION: With so much resistance above the current Price, how can it actually move up to the Target (61.8%)? Is there such a thing as a "failed Zig-Zag Wave"?
3. If the labeling is OK, then would the length of "E" be the same as "A"? I think I heard you mention that "the Length of Wave 1 is EQUAL to the Length of Wave 5"
@dxmufasa, Hi buddy, thank you for your amazing question, I hope I understood you right, anyway, I will answer, and if you have any further questions I will try to clarify my self.
1) Zig-zag correction occurs only when wave B is retraced by 50% of A, where's not the situation here, you can see the last wave retraced more than that, so we are looking at a flat correction or a 2nd wave.
2)If we are looking at flat correction, it is most likely, C will travel the length of A, but if we are looking at 2nd wave, we will expect wave 3 will travel 1.682 times of wave 1.
3) Wave A and wave 1 are a different wave with a different purpose, which wave 1 is an impulse wave part of an impulse move(1,2,3,4,5), wave A is an impulse wave part of a correction wave(ABC).
Hope it answers your questions, best of luck mate!