Ticker: Celsius Elliot Wave Reference Model
Here’s a reference model for Elliot wave & the 5 Motive Waves .
This is ticker
CELH Please leave a like 👍 & a positive comment.
Studying for success
Assuming you had correctly identified the wave you were in, you could have protected your capital from significant losses. Celsius’ price plummeted from $99 to below $28, a sharp drop that highlights the importance of wave analysis in safeguarding your investments. This strategy & screening methodology can serve as a valuable addition to your trading toolkit.
It’s currently 3 a.m. in Toronto, and I’ve spent the last three hours trying to solve this puzzle. 🧩
This is an Extended Wave 3 count.
While other primary waves can extend, this is most common wave to extend.
That means this charting principle & identification technique will work majority of the time at least on equities. Other assets have varying chart rules.
Step 1: Identifying Wave 3
- Look for RSI in overbought territory (70+).
- Switch to the highest time frame and identify the highest RSI level on both the price chart and RSI indicator.
- This price area often coincides with the highest volume. Highlight the highest volume bars on your chart for confirmation.
- Mark this point as Wave 3 and then work backward to identify the preceding waves.
Step 2: Identifying Primary Wave 1
& primary wave 2
As you are aware primary wave 1 is the first of the primary wave. Find an area on a chart where price has declined significantly and has created an accumulation box. Mark out the strongest impulse from the box, this should signify wave 1. Wave 1 can be seen as the start of the major move.
- Perform a visual scan of the ticker you’re analyzing:
- Identify and mark accumulation zones using a rectangular box.
- A strong price breakout from an accumulation zone typically signifies the start of Wave 1.
- If you’ve already identified Wave 3, you’ll notice Wave 1 is connected to it by a retracement (Primary Wave 2). This relationship should make Wave 1 & 2 &3 (sub 3)easier to spot.
Step 3 Primary Wave 3 / Sub wave 4 Retracement & final wave 3
- Wave 3(4) Extension: This retracement might appear to be a Primary Wave 4, but it’s actually the final wave before the extended Wave 3(5). Confusing? I know! Wave extensions are complex. Pay close attention to RSI levels to accurately judge this subwave.
Quick Tip: Use the Fibonacci extension tool:
1. Drag from the bottom of Primary Wave 1 to the top.
2. Then drag again to the end of Primary Wave 2.
3. This will mark the 1.618 level, which is often where Subwave 3 of Primary Wave 3 ends. This is the highest price point before Subwave 4’s deep or flat retracement.
• Now that you’ve identified Subwave 3 and Subwave 4, you can confirm the Primary Wave 3, which connects to Subwave 4. This will be the next impulse.
Step 4 Identifying Wave 4
- Notice the next major accumulation / basing pattern / deep retracement after primary wave 3. Done!
Very nice!
Step 5: Identifying Wave 5
Similarly to how wave 1 connect to 2 wave 4 connect to wave 5.
Done!
b]Final Mentions
Point 1
- Notice M pattern extended wave 3(5) aka ( wave 3 final) and primary 5. (M) pattern often called double top.
Point 2
- Notice the connections of both the top & bottoms of waves 3(5) and primary 5.
Creates a symmetrical triangle pattern which would flash warning signs before the huge price descent.
Point 3
- Notice the RSI where you think a new wave started it was just a sub wave in an extensions or a higher time degree Elliot wave.
Point 4( can be seen on 4hour time frame)
Note the head & shoulder which triggered & signified the end of wave 🌊 sent price from
$98 to $26.
That is it for this tutorial / reference guide.
Please leave a like and a positive comment this took lots of time. If you got to this Part drop your favourite emoji in the chat there are mine : 🌊🤝🎯
Thanks,
C Lemard
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