JoshThomas04

ETC - Have We Completed The Correction?

BITTREX:ETCUSDT   Ethereum Classic / Tether
ETC is finding support along a trendline which has acted and support and resistance since mid 2017. This support conveniently comes at the bottom of wave (2) which also formed at the bottom of wave 4 of lesser degree. This respects Elliott Wave Theory further by being the 0.618 retracement of wave (1). There is a resistance line from the 20/02 high to the 27/02 high which is currently acting as short term resistance. A break from this line (@ $35) would indicate a bullish wave (3) to me and I would start building my position from here. The technicals combined with the fact that there is an airdrop soon for ETC holders (at block 550000), I think the price will drive forward in the coming days. I would start my trade with 1/3 of my total position after breaking $35 and add another 1/3 after further confirmation, a break of heavy resistance at $38. I would then add the remaining 1/3 at the break of the all time high at $42.8. My target for this trade is $60.3 (58.63%).
There is possible resistance here at two levels which are key to break so we can get this bullish run we are looking for. Even before we reach our initial entry point, we could go down further and form the last leg of a 5-3-5 correction pattern. If this was true then I would be looking around $29 for re-entry. Therefore I would place my stop at $31.3 (10.67%).
Comment: I am glad that we didn't enter this trade as we broke below an important support level.

Although we are at an attractive level to buy in now as we have just found some support at the 0.5 Fib level from wave (1). I would like to see a break from the resistance before thinking about entering a position. Even then, we must consider the airdrop will most likely affect the price. Some people would rather wait until the impact from this settles before buying.

Comment: Oops, attached wrong chart!

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