MYEG - most people predicted a that contracting triangle ABCDE of bearish Wave B has yet to be complete and that it is currently sitting at Subwave C of ABCDE. However, contrary to popular opinion, Subwave E was complete on Feb 2020 followed by a 5 waves down of larger degree Wave C.
This is evidenced by the fact that there was a higher than average sell vol when it broke down from the triangle. Many people would ask why Wave C terminated above Wave A then? This is a phenomenon called as a truncated Wave C, which follows a very strong bearish downtrend but manage to stop well short of end of Wave A and subsequently caused a massive turn in the opposite direction.
Currently, we have completed a zig zag larger Wave 2 and subwave 3 of larger Wave 3 maybe in progress. Subwave 1 of larger Wave 3 showed an extension in minor wave 5. Coincidently, Subwave 2 ended at the same level as minor wave 4 of Subwave 1 (dotted purple line)
We can see zig zag larger Wave 1 showed and ending diagonal in subwave 5. Also incidently, ending larger Wave 2 coincided with ending of subwave 4 of larger Wave 1 (green dotted line)
Indicators
1) daily MACD golden cross above 0
2) Weekly MACD above 0, pointing upwards, pending a cross
3) daily Stoch RSI coming out from oversold region
4) weekly RSI and MACD show hidden bullish divergence
- Disclaimer : this is not a buy/sell call, only for education purposes. Invalidated if unable to break immediate resistance 1.48.
This is evidenced by the fact that there was a higher than average sell vol when it broke down from the triangle. Many people would ask why Wave C terminated above Wave A then? This is a phenomenon called as a truncated Wave C, which follows a very strong bearish downtrend but manage to stop well short of end of Wave A and subsequently caused a massive turn in the opposite direction.
Currently, we have completed a zig zag larger Wave 2 and subwave 3 of larger Wave 3 maybe in progress. Subwave 1 of larger Wave 3 showed an extension in minor wave 5. Coincidently, Subwave 2 ended at the same level as minor wave 4 of Subwave 1 (dotted purple line)
We can see zig zag larger Wave 1 showed and ending diagonal in subwave 5. Also incidently, ending larger Wave 2 coincided with ending of subwave 4 of larger Wave 1 (green dotted line)
Indicators
1) daily MACD golden cross above 0
2) Weekly MACD above 0, pointing upwards, pending a cross
3) daily Stoch RSI coming out from oversold region
4) weekly RSI and MACD show hidden bullish divergence
- Disclaimer : this is not a buy/sell call, only for education purposes. Invalidated if unable to break immediate resistance 1.48.