BCH - Analysis - Primary Wave 1 & Wave 2 Correction - $423
Updated
BITFINEX:BCHUSD is in a Primary Wave 2 Correction.
BCH has completed an Elliot Wave which had TWO extensions which were the 3rd and 5th impulse waves.
Look for a pull back to $423.00 then wait for confirmation that the correction has ended. (ie, Micro Wave)
Correction: Flat + ZigZag
Flat:
A flat correction is a horizontal formation that occurs in between two impulses. Like all corrections, this corrective wave is also made up of three waves. Unlike in a zigzag where Wave A is made up of 5 sub waves, the Wave A in a flat is made up of just three waves. This by itself signals a lack of strength to correct deeply the prior impulse wave. Wave B inherits some of this characteristic and ends near the start of wave A, and unfolds in 3 sub waves (remember in a zigzag, Wave B ends some distance away from the start of Wave A). Once Wave B is completed, the ensuing Wave C unfolds in 5 sub waves, but once again, unlike wave C of a zigzag, this wave C will finish at or just beyond the terminal point of Wave A. A flat is usually found in the fourth wave position.
Wave C in a flat tends to finish at the 138.2% projection of Wave A. You can safely use this as a simple and easy to remember guideline.
ZigZag:
This is the simplest form of correction, (A, B and C) where Wave A is made up of five waves and Wave B has 3 internal waves. Wave C is always made up of 5 waves in any correction, irrespective of the category.Waves A and B, you will compute the 100%, 138.2% and 161.8% projections.
If a zigzag occurs in Wave 2 position, the maximum distance it usually travels is to the top of wave 1 of the preceding lower degree.
Where is the top of Wave 1 of the preceding lower degree? $422.96
In the case of an irregular correction, however, the B wave tends to go beyond the starting point of Wave A and just when everyone is convinced that the original trend was probably back in place, the price turns around and comes down rapidly as the C wave to complete the correction.
An irregular correction is frequently spotted at the end of an extended fifth wave, because an extended fifth wave is subject to what is known as double retracement.
Hourly:
3HR:
6HR:
Will update.
-AB
BCH has completed an Elliot Wave which had TWO extensions which were the 3rd and 5th impulse waves.
Look for a pull back to $423.00 then wait for confirmation that the correction has ended. (ie, Micro Wave)
Correction: Flat + ZigZag
Flat:
A flat correction is a horizontal formation that occurs in between two impulses. Like all corrections, this corrective wave is also made up of three waves. Unlike in a zigzag where Wave A is made up of 5 sub waves, the Wave A in a flat is made up of just three waves. This by itself signals a lack of strength to correct deeply the prior impulse wave. Wave B inherits some of this characteristic and ends near the start of wave A, and unfolds in 3 sub waves (remember in a zigzag, Wave B ends some distance away from the start of Wave A). Once Wave B is completed, the ensuing Wave C unfolds in 5 sub waves, but once again, unlike wave C of a zigzag, this wave C will finish at or just beyond the terminal point of Wave A. A flat is usually found in the fourth wave position.
Wave C in a flat tends to finish at the 138.2% projection of Wave A. You can safely use this as a simple and easy to remember guideline.
ZigZag:
This is the simplest form of correction, (A, B and C) where Wave A is made up of five waves and Wave B has 3 internal waves. Wave C is always made up of 5 waves in any correction, irrespective of the category.Waves A and B, you will compute the 100%, 138.2% and 161.8% projections.
If a zigzag occurs in Wave 2 position, the maximum distance it usually travels is to the top of wave 1 of the preceding lower degree.
Where is the top of Wave 1 of the preceding lower degree? $422.96
In the case of an irregular correction, however, the B wave tends to go beyond the starting point of Wave A and just when everyone is convinced that the original trend was probably back in place, the price turns around and comes down rapidly as the C wave to complete the correction.
An irregular correction is frequently spotted at the end of an extended fifth wave, because an extended fifth wave is subject to what is known as double retracement.
Hourly:
3HR:
6HR:
Will update.
-AB
Note
This chart shows the Waves the best.
Note
Noted lower degree Wave 1 top and relative spiral. Note
Note
Reflex at Significant Low?Note
Trade closed: target reached
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