This PRZ area should be used as stop loss in case of complete candle stick closes below this zone.
Lets have a look on the move of price action to see how perfect this pattern is driven:
After initial leg (X to A) the A to B leg is retraced between 0.382 to 0.50 Fibonacci and then B to C leg is projected between 0.382 to 0.886 of A to B area and last leg (C to D) is retraced between 0.786 to 0.886 Fibonacci and now the price action is moving in potential reversal zone of this and now we can expect at any time which will lead the priceline between 0.382 to 0.786 of A to D leg , but if after this the candles sticks will be closed above the 0.786 area of A to D leg then it can also lead to the long term move.
As per Fibonacci sequence method we can set our targets as below:
Buy between: $0.0016980 to $0.0016552
Sell between: $0.0018091 to $0.0019723
So this chart would be a good long opportunity for upto 19% move.
Atif Akbar (moon333)
The moves analysis involves hours of hard work and determination however the success of trading in fiat and cryptocurrencies is around 80% therefore it is always important that you follow any stop loss strategy while trading I have also shared a stop loss idea in this article, the information in this article is for educational purpose only this is not an investment advice, I have tried my best to catch the moves as per predefined classical if you find any flaw or you have any suggestion feel free to share with me in comments section.