I'm back again with another idea!
This is a 6 hour chart of EOS/USD.
- long term trend: up
- short term trend: down
*It is my opinion that we have finished a set of waves: i,ii, iii ,iv,v. Wave i&iii retracement are marked by yellow box.
*Although we are trading above EMA50/MA50 at higher TF, I still expect another corrective wave down, which will give us a possible buy zone. Marked by the green boxes.
-->The first buy zone is formed by previous low. Wave C can end here. This means we re-test .618 level of the whole leg (blue tool), and re-continue the uptrend.
-->The red boxes are cloned, they represent the same price range. If we have a 1:1 move down of wave A and C, this will bring us to .786 fib ext. of the whole leg. (Blue on the right). Wave C can also end here. This is the second buy zone.
$18.6 / $4.5 = 413%
**I hope you all lay your orders! IF it gets filled, it will be an early Christmas present! And we are still in January :)
broken out from rising wedge.
Let's see if it touches our buy zone!
Blue box: in the original post, I counted the blue box as 5 wave down. And what that tells me is that the corrective pattern is not finished because a 5wave down corrective pattern cannot stand on its own. Which I found confluence as I anticipated a drop below MA55 on higher TF. That did not happen.
Now that I look at it, the chart fits better if we draw a simple ABC correction.
This means we are still in an uptrend and we can open our long position.
I will slowly add long positions at pull back.
Green boxes are still feasible
Lay orders at the second green box, too.
The truth is you have no idea what’s happening in the market so you’re guessing. You probably guessed bull before the January bear and now you’re going bear before the February bull. You just can’t get it right can you? Lol