Just playing with fibs, trend lines & EW's while ignoring news/event based emotions. It's interesting where they cross over.
I honestly can't wait to finish this downtrend and hit a new ATH. Daddy needs a brand new ride! ;)
Comments
sonus
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Can you explain some of the down-trending dotted red lines? How were they drawn?
DanLaffas
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The basis of this chart was taken from DanV here tradingview.com/v/4QUUcFjP/ You'll see the lines I've copied from his.
After that I just tried looking for other indicators that crossed at common points. The first dotted red line I drew was the bottom one. The others are all clones of this line so have the same slope. I basically just looked for where they fit in the downtrend acting as support and resistance.
Next I used the trend based fib extension running from Jan- high to Feb- low to Mar- high (blue dashed lines) and marked the three target balloons at the 0.5, 0.618 &1.0 fib extensions.
I hope this helps. I'm still quite new to this (~3 months) and still have a lot to learn, so don't take my stuff as gospel. :)
Lastly I added the fib channel using the Dec high to low leg as this lined up nicely and follows all other trends (or all other trends follow this fib channel).