Elliot irregular flat correction pattern with top 60K incoming
We have had 5 big waves from 2010 and in this moment we are still in a correctional pattern, with a big upthrust after distribution.
This uptrust can go to the 1.618 extension of wave A (20K to 3K in 2018)
Wave A, B, and C
Wave A: Corrections are typically harder to identify than impulse moves. In wave A of a bear market, the fundamental news is usually still positive. Most analysts see the drop as a correction in a still-active bull market. Some technical indicators that accompany wave A include increased volume, rising implied volatility in the options markets and possibly a turn higher in open interest in related futures markets
Wave B: Prices reverse higher, which many see as a resumption of the now long-gone bull market. Those familiar with classical technical analysis may see the peak as the right shoulder of a head and shoulders reversal pattern. The volume during wave B should be lower than in wave A. By this point, fundamentals are probably no longer improving, but they most likely have not yet turned negative
Wave C: Prices move impulsively lower in five waves. Volume picks up, and by the third leg of wave C, almost everyone realizes that a bear market is firmly entrenched. Wave C is typically at least as large as wave A and often extends to 1.618 times wave A or beyond
Expanded Flats
Elliott Wave Theory Expanded Flats
Guidelines
• A corrective 3 waves move labelled as ABC
• Subdivision of wave A and B is in 3 waves
• Subdivision of wave C is in 5 waves impulse / diagonal
• Subdivision of wave A and B can be in any corrective 3 waves structure including zigzag, flat, double three, triple three
• Wave B of the 3-3-5 pattern terminates beyond the starting level of wave A
• Wave C ends substantially beyond the endng level of wave A
• Wave C needs to have momentum divergence
Fibonacci Ratio Relationship
• Wave B = 123.6% of wave A
• Wave C = 123.6% – 161.8% of wave AB
This uptrust can go to the 1.618 extension of wave A (20K to 3K in 2018)
Wave A, B, and C
Wave A: Corrections are typically harder to identify than impulse moves. In wave A of a bear market, the fundamental news is usually still positive. Most analysts see the drop as a correction in a still-active bull market. Some technical indicators that accompany wave A include increased volume, rising implied volatility in the options markets and possibly a turn higher in open interest in related futures markets
Wave B: Prices reverse higher, which many see as a resumption of the now long-gone bull market. Those familiar with classical technical analysis may see the peak as the right shoulder of a head and shoulders reversal pattern. The volume during wave B should be lower than in wave A. By this point, fundamentals are probably no longer improving, but they most likely have not yet turned negative
Wave C: Prices move impulsively lower in five waves. Volume picks up, and by the third leg of wave C, almost everyone realizes that a bear market is firmly entrenched. Wave C is typically at least as large as wave A and often extends to 1.618 times wave A or beyond
Expanded Flats
Elliott Wave Theory Expanded Flats
Guidelines
• A corrective 3 waves move labelled as ABC
• Subdivision of wave A and B is in 3 waves
• Subdivision of wave C is in 5 waves impulse / diagonal
• Subdivision of wave A and B can be in any corrective 3 waves structure including zigzag, flat, double three, triple three
• Wave B of the 3-3-5 pattern terminates beyond the starting level of wave A
• Wave C ends substantially beyond the endng level of wave A
• Wave C needs to have momentum divergence
Fibonacci Ratio Relationship
• Wave B = 123.6% of wave A
• Wave C = 123.6% – 161.8% of wave AB
Trade closed manually:
I will wait with this trade until it's safe and we have a full close above the 0.786 retrace, below 40K could be a top pattern forming.
Trade active:
Looking bullish again, more and more on the pattern of may 2019
Trade closed: target reached:
Yes yes, we are there
