BAT/USD Elliot wave analysis
Updated
BAT/USD is looking really good from an elliot wave perspective. A beautiful 5 wave structure topped out around $1.64. We are currently correcting. It's a bit too early to tell what our wave 3 target will be. We will need to see where corrective wave C falls first. If corrective wave C hits the main trend line (yellow line) , then we can make the assumption that the wave 3 target will hit around the $2.20-$2.25 area. This would actually be a bullish bounce off the. 618 as well. I have marked the corrective sequence in RED as it still has to play out before we can make this assumption so be sure to follow the correction before making any decisions. I will update as soon as possible. But for now, looking pretty fundamental and bullish.
Hidden bullish divergence: As you can see from the beginning of this run (early Jan), the daily RSI has slowly crept lower and lower, forming 3 lower lows. Although I would call this a hidden bullish divergence, I would wait to see if the main trend line (yellow) holds. If it does, and this structure continues on to wave 3, then we can confirm a hidden bullish divergence, so long as the RSI continues a lower low trend.
Conclusion: As you already know, we are in a bull market. Most of the altcoins are finishing off their corrective patterns and we are reset to do a market-wide x1.5-1.618. Right now would be a great time to think about planning your entry for BAT. You could wait for a bounce off the main trend line.. or wait to see if it goes lower. Even if it does, we can expect this pattern wave 3 to form in the next few weeks. Take profits at previous high and 1.618.
Hidden bullish divergence: As you can see from the beginning of this run (early Jan), the daily RSI has slowly crept lower and lower, forming 3 lower lows. Although I would call this a hidden bullish divergence, I would wait to see if the main trend line (yellow) holds. If it does, and this structure continues on to wave 3, then we can confirm a hidden bullish divergence, so long as the RSI continues a lower low trend.
Conclusion: As you already know, we are in a bull market. Most of the altcoins are finishing off their corrective patterns and we are reset to do a market-wide x1.5-1.618. Right now would be a great time to think about planning your entry for BAT. You could wait for a bounce off the main trend line.. or wait to see if it goes lower. Even if it does, we can expect this pattern wave 3 to form in the next few weeks. Take profits at previous high and 1.618.
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Note
Textbook so far.Note
We have completed the ABC Correction to perfection. Let's get ready for Wave 3
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