After a clear 5-wave impulsive move up, KSMUSDT seems to have completed a deep ABC correction, potentially marking the end of Wave 2.
📉 Wave 1: We had a clean five-wave move from the bottom, which fits classic Elliott Wave structure.
📉 Wave 2: The correction that followed was much deeper than the ideal Fibonacci retracement zone. However, crucially, it never violated the low of Wave 1, which means it still holds valid under Elliott Wave rules. The correction unfolded as a textbook ABC pattern, with Wave C digging deep into the previous structure — showing panic selloff and possibly a final capitulation.
🔄 Key Development Now:
The resistance trendline of the correction has just been broken, suggesting potential momentum shift. This could mark the beginning of Wave 3, which is typically the strongest and most impulsive wave in Elliott Wave theory.
📈 Potential Target for Wave 3: Around the 39.5.80–42.00 area based on Fibonacci projections, but this is an early assumption and requires confirmation by price action and volume.
⚠️ Important Risk Note:
Despite this bullish technical setup, the current market remains risky. The bounce is fresh, and confirmation is still lacking. There's still the possibility of a deeper retest or invalidation of this count if price closes below the base of Wave 1.
🧠 Trade Plan:
- Wait for follow-through confirmation.
- Manage risk carefully — this is an early entry scenario.
- A stop below the recent low (~11.30) would be logical for this wave count.
📊 What do you think? Is this the beginning of a powerful Wave 3, or just another fakeout?
💬 Drop your thoughts or alternate wave counts in the comments!
📉 Wave 1: We had a clean five-wave move from the bottom, which fits classic Elliott Wave structure.
📉 Wave 2: The correction that followed was much deeper than the ideal Fibonacci retracement zone. However, crucially, it never violated the low of Wave 1, which means it still holds valid under Elliott Wave rules. The correction unfolded as a textbook ABC pattern, with Wave C digging deep into the previous structure — showing panic selloff and possibly a final capitulation.
🔄 Key Development Now:
The resistance trendline of the correction has just been broken, suggesting potential momentum shift. This could mark the beginning of Wave 3, which is typically the strongest and most impulsive wave in Elliott Wave theory.
📈 Potential Target for Wave 3: Around the 39.5.80–42.00 area based on Fibonacci projections, but this is an early assumption and requires confirmation by price action and volume.
⚠️ Important Risk Note:
Despite this bullish technical setup, the current market remains risky. The bounce is fresh, and confirmation is still lacking. There's still the possibility of a deeper retest or invalidation of this count if price closes below the base of Wave 1.
🧠 Trade Plan:
- Wait for follow-through confirmation.
- Manage risk carefully — this is an early entry scenario.
- A stop below the recent low (~11.30) would be logical for this wave count.
📊 What do you think? Is this the beginning of a powerful Wave 3, or just another fakeout?
💬 Drop your thoughts or alternate wave counts in the comments!
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.
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.