I have been struggling to figure out where EOS is in its wave count. There are a few possible scenarios but this extension has made it hard to figure out which one fits best. I grinded on this one and I THINK I have found the most likely one. OF COURSE, this is up for debate but there are a few reasons that lead me to this conclusion. Let me explain!
The chart above shows a fifth wave extension that ends here with BTC’s fifth wave (See my previous BTC -0.04%post). This fifth wave ends just below the 261.8% extension of wave (3) of ((5)) and wave ((3)). It also hit the 361.8% extension of wave ((1)). Wave ((1)) is nearly exactly equal to wave ((3)). The biggest factor that lead me to this count is the volume in the fifth wave is larger than the third. This is typical of a fifth wave extension! We are also overbought on the momentum oscillators and are due a retracement.
If this is indeed the end of the fifth wave, we can look at the blue retracement levels for a reversal. We have the 61.8% retracement which coincides with the end of wave (2) of wave ((5)) which is a typical retracement in a fifth wave extension. At $10.74 we have the target for the Head & Shoulders formation we are currently in (as shown below) but we need this pattern to be confirmed before we can consider this target. If the pattern is confirmed then I anticipate buyers will be looking at this level for entry.
Thank you for taking you time to read this! Please let me know what you think of this count in the comments section below! Would really appreciate your feedback! If you liked this then please give it a like/give me a follow!
You can follow me through this link -> www.tradingview.com/u/JoshThomas04/
The chart above shows a fifth wave extension that ends here with BTC’s fifth wave (See my previous BTC -0.04%post). This fifth wave ends just below the 261.8% extension of wave (3) of ((5)) and wave ((3)). It also hit the 361.8% extension of wave ((1)). Wave ((1)) is nearly exactly equal to wave ((3)). The biggest factor that lead me to this count is the volume in the fifth wave is larger than the third. This is typical of a fifth wave extension! We are also overbought on the momentum oscillators and are due a retracement.
If this is indeed the end of the fifth wave, we can look at the blue retracement levels for a reversal. We have the 61.8% retracement which coincides with the end of wave (2) of wave ((5)) which is a typical retracement in a fifth wave extension. At $10.74 we have the target for the Head & Shoulders formation we are currently in (as shown below) but we need this pattern to be confirmed before we can consider this target. If the pattern is confirmed then I anticipate buyers will be looking at this level for entry.
Thank you for taking you time to read this! Please let me know what you think of this count in the comments section below! Would really appreciate your feedback! If you liked this then please give it a like/give me a follow!
You can follow me through this link -> www.tradingview.com/u/JoshThomas04/
Comment:
Check the Head & Shoulders..
Comment:
First I'd like to say thanks to the people commenting! I really appreciate your feedback!
As a couple of you noticed, the head and shoulders pattern was never confirmed and instead, the right shoulder and the subsequent rejection of the neckline produced a triangle formation. These usually appear in the 4th wave and I have labelled the wave again considering this. With this update, it shows wave (1) and wave (3) being of equal length (around 50%) so based on this, we should see another rise of at least 50% with more volume. As you can see on the chart, most of our targets line up with the $21.5 with upwards targets of $26. We really need to see some nice volume coming in to reach them heights though.
I am super cautious about this though as we are way over extended on the daily chart and we have the resistance from the all time high ahead. But that hasn't stopped it in the past and there is a lot of FOMO in this coin right now. We need to keep an eye out for reversals at the ATH especially but if we break that with volume we could see this fifth wave extension come into play.
As a couple of you noticed, the head and shoulders pattern was never confirmed and instead, the right shoulder and the subsequent rejection of the neckline produced a triangle formation. These usually appear in the 4th wave and I have labelled the wave again considering this. With this update, it shows wave (1) and wave (3) being of equal length (around 50%) so based on this, we should see another rise of at least 50% with more volume. As you can see on the chart, most of our targets line up with the $21.5 with upwards targets of $26. We really need to see some nice volume coming in to reach them heights though.
I am super cautious about this though as we are way over extended on the daily chart and we have the resistance from the all time high ahead. But that hasn't stopped it in the past and there is a lot of FOMO in this coin right now. We need to keep an eye out for reversals at the ATH especially but if we break that with volume we could see this fifth wave extension come into play.
