Please, Get ready for Sell Position by next week
a wave 2 double or triple zig zag and therefore I'm looking for price to trade below 1.3300 in some kind of a wave 3 down - not up. Wave 1 having started from the Oct highs shows a distinctly impulsive 5 waves down on the 4hr/2hr chart
wave and therefore a corrective wave - some type of Flat, ZigZag, Triangle, leading diagonal or a combination of these. A diagonal, leading
or ending, is the only time wave 4 can enter wave 1. (there are a few times when a LD is a wave 1 of an impulsive wave, BUT, they are so rare
as to not even mention and do not lend themselves to trading as easy as other EW patterns)*they tend to form after long, long trending moves
and can sometimes signal that a bottom/top/trend change is at hand. EurUsd does not have this quality at this time.
Anyway, to know if you are working with a LD or an impulse wave changes all the calculations for entry/exist/profittargets -
as corrections from LD;s are usually short and shallow - easily missed. Plus it can confirm or invalidate a trend analysis at a larger degree.
I asked because I see this move off of the recent lows as corrective and expect a return to the down trend soon and if we do see an a-b-c
followed by new highs it will be in a wave C not a wave 3. Time will tell, as always. Chow ! And best of Luck !