ZRXUSD - SOMETHING WRONG WITH THE COUNT ... IMPORTANCE OF RSI
Updated
Hi, if the previous idea that is working really great for the trader, the chartist I also am was not satisfied because of the count.
Can you spot the difference?
- Equal leg area in an ongoing cycle tells us that count needs to continue to push until this area is reached (truncation at 61.8%-78.4% is also alright).
- RSI divergence. I use this only to determine if a 5 legs is a motive 5 waves or a corrective structure (that most people identify wrongly and therefore want to see 5 waves everywhere and, digressing, the reason why I do not use WXY or ABC but 12345 because it is all the same for the patrons (traders) who want levels. ABC is a WXY with at least one leg extended (5-3-5 or 3-3-5 against 3-3-3 at the same degree).
Based on this new count, the marginal new low made more sense and the next phase can now be presented. See the difference now?
So, what level would you go long (or short)?
Can you spot the difference?
- Equal leg area in an ongoing cycle tells us that count needs to continue to push until this area is reached (truncation at 61.8%-78.4% is also alright).
- RSI divergence. I use this only to determine if a 5 legs is a motive 5 waves or a corrective structure (that most people identify wrongly and therefore want to see 5 waves everywhere and, digressing, the reason why I do not use WXY or ABC but 12345 because it is all the same for the patrons (traders) who want levels. ABC is a WXY with at least one leg extended (5-3-5 or 3-3-5 against 3-3-3 at the same degree).
Based on this new count, the marginal new low made more sense and the next phase can now be presented. See the difference now?
So, what level would you go long (or short)?
Note
equal leg reached. What is next? Stay tuned here or with the patrons for live update.Note
Spot on, chart shows the path. 3 waves down and a buy setup a tad lower (we reached 61.8%-78.4% extension already)Note
ZRXUSD retraced deeper but holding up 0.4538. Low in place at 0.4959 until otherwise. Target to the upside will be reassessed when we are above 0.6387.Note
Do I need to remind myself why one should not short cryptocurrencies? No, but that spike surely cannot hurt!0.7456-0.8145 next level of interest.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.