My assumption from yesterday was confirmed. BTC completing C leg in 5 waves down. The buy zones are still the same. The 3th wave reached 1.414 Fibo level so the 5th wave may reach 2.414 as well (exactly where is the 0.65 Fibo retracement from last swing low to swing high). Bitcoin is still moving in the channel from 05 May. For me there is two possible scenarios: 1. WXY correction or 2. WXYXZ correction
Let's look at the big picture fist and then we will go through the both scenarios.
1. WXY correction
If Bitcoin break out above the channel resistance and hold the position there then we can conclude that with this correction is over and we will see new highs. Please take into consideration that BTC need to break out with a lot of volume and big impulsive wave up making a strong green candle.
- WXYXZ correction
If the break out FAIL again doing ABC just like the last one 3 days ago then we may see another ABC correction down creating a WXYXZ (3-3-3-3-3) structure. The next meaningful buy zone will be 0.887 Fibo retracement. Then we will have a new 3th buy zone and we will need to adjust our Stop loss lower between 0.887 and 1 Fibo levels. But I will update you with more accurate targets if this happen and more data come.
Best practices: Ladder your buys from top to bottom of you buy zones.
Another related articles
BTC (Bitcoin) / USD - 09 May 2018 - correction in progress
BTC (Bitcoin) / USD - 15 May 2018 - reached my targets exactly, what next ...
BTC (Bitcoin) / USD - 16 May 2018 - decide to FAIL, another ABC correction in progress
BTC (Bitcoin) / USD - 17 May 2018 - B leg completed reaching my target exactly, what next ...
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Legal Disclaimer: This blog post and the materials in it are for informational purposes only. I'm not an financial advisor. This is only my opinion. It is not advice or recommendation to buy or sell according to provided information about the price movements and I am not liable for any pecuniary damages!