BTC: Potential scenario for a short

5 jul 2018

This is a potential scenario. If we fall below the rising wedge we can be prepared to short. Better confirmation would be the body of the candle below the pattern line. Next, even better would be a retest of the pattern line, followed by a rejection. In this scenario we can expect a downtrend to occur. The expected drop from the wedge lands right on one of my fibs and about 5927 as several other Elliot wave theories on trading view have shown. The solid red lines are potential first targets/support areas. If the pattern breaks cleanly back into the wedge, the trade is canceled. If this wedge failure occurs, it gives us a great Risk:Reward of almost 10:1