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momentum
– Momentum on the daily time frame (D1) is currently trending upward, indicating that the uptrend is continuing and that the uptrend is not over yet.
Momentum on the four-hour frame (H4) is solid in overbought territory, reflecting a continuation of the uptrend, but momentum is gradually weakening and a reversal is possible at any time.
Momentum has begun to reverse on the hourly frame (H1), indicating a possible short-term bearish corrective movement within the H1 frame.
wave structure
Daily Frame (D1)
– On the daily chart, price is still moving within the blue fifth wave structure, which is extending.
– The next target to watch is the 4957 area, which represents the Fibonacci 1.0 extension of waves 1-3.
Four hour frame (H4)
The current uptrend is sharp and strong, which indicates that the price is moving within the orange third wave.
– In the orange third wave we clearly notice the green five-wave structure (1-2-3-4-5) as shown in the picture.
– According to the Elliott Wave principle, after the completion of the third wave, the market is expected to enter a correction phase, forming an orange fourth wave.
However, it should be noted that H4 momentum remains in the overbought zone, indicating that the rise may continue, but with weaker momentum, the risk of reversal is higher.
However, since the fifth blue wave is still extending, the basic rule states not to attempt to sell or go against the extending wave.
Watch stand(H1)
– In the green five-wave structure, a substructure of the purple five-wave (1-2-3-4-5) can be observed, as the third purple wave is currently in a stretched state.
– As a matter of principle, it is not recommended to try to determine the precise target of an extension wave because of the lower accuracy.
– For now, it’s best to continue monitoring and wait for further confirmation, rather than risking a short trade while the bullish structure remains in control.
