The overall equity and crypto market crash didn't do any favor to RIOT stock. Despite a lot of good things happening for the company, the short-term headwinds are propelling much of the selling. The rapid selling across the markets has a strong signature of capitulation. Which means, I am now looking for bottoming characteristics to go back in RIOT.
EW count suggests we should have wave 3 of 3 of C complete or near complete. This is usually the strongest part of selling. If we get a consolidation soon for a few days, that will make a strong case for wave 4 and we should see the finishing move with divergences on indicator and sharp reversal soon after. Will look for a turnaround somewhere between $10 and $8. $6.2 cannot break. If that is breached, then RIOT is in a world of hurt.
However, the bottom forms now, I would like to wait to see 5 waves move up. Then on the retrace of that move, the risk to reward would be much better and adding a stop loss should be much clearer. I'd say, time to buy is coming up by the end of February/early March, or maybe sooner.
EW count suggests we should have wave 3 of 3 of C complete or near complete. This is usually the strongest part of selling. If we get a consolidation soon for a few days, that will make a strong case for wave 4 and we should see the finishing move with divergences on indicator and sharp reversal soon after. Will look for a turnaround somewhere between $10 and $8. $6.2 cannot break. If that is breached, then RIOT is in a world of hurt.
However, the bottom forms now, I would like to wait to see 5 waves move up. Then on the retrace of that move, the risk to reward would be much better and adding a stop loss should be much clearer. I'd say, time to buy is coming up by the end of February/early March, or maybe sooner.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.