Cardano Elliott Wave technical analysis [Video]

ADA/USD – Elliott Wave technical analysis

Function: Follow trend.
Mode: Motive.
Structure: Impulse.
Position: Wave 2.
Direction next higher degrees: -
Wave cancel invalid level: -

ADA/USD trading strategy

Cardano is forming a retracement to rally within a wave 2 pattern. This typically concludes between the 0.382–0.618 Fibonacci retracement levels. A break above major resistance could confirm the start of wave 3, which might push prices beyond $1.00 in the upcoming major trend.

• Watch for a breakout above $0.73 to engage with the developing wave 3 trend.
• Wave cancel invalid level: $0.640 (if the price falls below, the wave count would be invalid).

Trading strategies:

Strategy

• For short-term traders (swing trade): Wait for a breakout above $0.73 and look for a reversal signal before entering trades.

Risk management

• Place stop-loss orders below the $0.64 support area to manage risk if the bullish scenario fails.

ADA/USD – Elliott Wave technical analysis

Function: Follow trend.
Mode: Motive.
Structure: Impulse.
Position: Wave 2.
Direction next higher degrees: -
Wave cancel invalid level: -

ADA/USD trading strategy

Cardano is exhibiting a retracement to rally in its wave 2 phase, generally culminating between the 0.382–0.618 Fibonacci zones. If the asset breaks major resistance, it could initiate wave 3 and potentially drive the price above $1.00.

• Await a breakout over $0.73 to align with the emerging wave 3.
• Wave cancel invalid level: $0.640 (price below this invalidates the current wave count).

Trading strategies:

Strategy

• For short-term traders (swing trade): Look for confirmation of a breakout above $0.73 before entering a long position.

Risk management

• Apply stop-loss orders just under the $0.64 level or use $0.64 as an invalidation point.

ADA/USD – Elliott Wave technical analysis [Video]