This weeks stormy days, gave us a healthy and needed correction which gives me even a better feeling of heading to 6k.
Looking at the daily, I see a 5-legs pattern and we just formed the 4th leg. This was an correction which I predicted last weekend and it dumped into my target box and even a bit further. (linked below).
My targetboxes are always possible bounce areas based on fibonacci, so its no problem when it extends that area towards the next fibo level.
Still looking at the , this correction was a perfect 50% and we saw a strong bounce, and is still showing nice upward potential. There is also no hidden divergence.
Based on Fibo extensions, I was able to determine the target for 5 and its projected on the chart. Once we get closer to that area, I will update on lower timeframe what could be expected.
Looking at lower timeframes, first target is to crack down the blue that indicates the down trend. We might see some more downside before we crack that resistance. Important is that we stay above the yellow to remain .
On a short term (1hr chart), I see a trend reversal pattern right now forming which might cause some correction on the strong bounce which is very logic imho.
Trading advise: Try to catch some more BTC on the dips which certainly will come. SL below the yellow .
For sure, people will react on this and ask about Chinese news: I dont trade news, I strongly believe that charts do form multiple wave patterns and that news is calculated in my patterns.
Whishing you all a nice weekend and happy trading!
Recap of todays dump which looks as a shake out to me:
Its on a critical level right now, it is on the edge of my possible bouncing area. If it doesn't bounce from here, we will make a larger ABC correction and drop towards the blue box
Cracked the trendline and the previous top, which opens the way to the targetbox.
Elliott Wave posters are writing complete novels with all kind of funny stories, and making it only more difficylt for you guys, explaining why they raise their point where BTC collapses an why they are still right. LMAO
I just sit back and watch the price going as posted weeks ago. Less is more! Trade what you see, not what you think.
This is why you dont short BTC in such a bullrun.
Right now overbought in most timeframes, upto Daily