I have the same idea and agree with it overall. Would you agree that we may need to see a break below 1696 to establish whether wave E is in play?
I feel there is still the possibility that Wave D has not finished yet.
justagirllearningtotrade
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@BeyondEdge, Hmmm...I'm thinking that D might be done. We have 4 completed 3s and waiting on the fifth to complete.
I saw your overall markup, overall we have the same idea. E can potentially overshoot and from what I've seen, most often it does.
What are your thoughts on the chart below?
BeyondEdge
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@kcjack33, I prefer not to trade Wave E as it doesn't always fulfill, breaking out from Wave D instead.
I think your top trend line should be from the candle body close of where your A is originating from. Besides that, you've identified the type of correction (Triangle) and projected the overall outcome correctly.
It is still possible that D has been done in a (Symmetrical triangular correction - Top declining, bottom rising). We can only rule this out if price now goes on beyond where your wave E has originated from (1723). Hope that makes sense and thanks for sharing!
justagirllearningtotrade
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@BeyondEdge, Looks like you were right. How did you determine D was not finished yet?
BeyondEdge
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@kcjack33, I have identified this triangular correction as a set of ascending triangles. These typically have a top flat, bottom rising pattern. Using candle body closes, we can see that Wave C of the second three closed within close proximity of where Wave A of the first three originated from therefore confirming the top flat. So for the fourth three, I am expecting price to close higher so it maintains this flat top.
justagirllearningtotrade
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@BeyondEdge, Got it. Triangles are tricky. Good call.
BeyondEdge
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@kcjack33, Let's see how it plays out... it still needs to take out the high from 8th May to confirm.
I feel there is still the possibility that Wave D has not finished yet.