Share:

Hello traders,

XRPUSD unfolded a five-wave overlapping move from the 0.329 highs, which is in Elliott wave theory known as a leading diagonal.

When diagonal triangles occur in the fifth or C wave position, they take the 3-3-3-3-3 shape that Elliott described. However, it has recently come to light that a variation on this pattern occasionally appears in the first wave position of impulses and in the A wave position of zigzags. The characteristic overlapping of waves one and four and the convergence of boundary lines into a wedge shape remain as in the ending diagonal triangle. However, the subdivisions are different, tracing out a 5-3-5-3-5 pattern.

On the XRPUSD we can see this kind of pattern, as desribed above, completed in the wave A, which means, latest turn up from September lows can be part of a three-wave correction in wave B. We specifically see a three-wave a-b-c move, where wave c of B can retrace towards the Fib. ratio of 38.2 and 0.618 (0.260/0.290 area), where resistance and a new turn lower can be seen. However, in case of a deeper pullback in wave B, be aware of possible resistance at the 0.30 level.

Invalidation level is at 0.329.

XRPUSD, 4h

Example of the Elliott wave leading diagonal:

  • Structure is 5-3-5-3-5.
  • A wedge shape within two converging lines.
  • Wave 4 must trade into a territory of a wave 1.
  • Appears in the wave one position in an impulse, in the A wave position of A-B-C.

By using Wavetraders website, any services, products, and content contained here, you agree that use of our service is entirely at your own risk. You understand that there is a very high degree of risk involved in trading on the markets. We assume no responsibility or liability for your trading and investment results. The charts, and all articles published on www.wavetraders.com are provided for informational and educational purposes only!

By using the information and services of www.ew-forecast.com you assume full responsibility for any and all gains and losses, financial, emotional or otherwise, experienced, suffered or incurred by you.

Join Telegram

Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended content


Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended Content

Editors’ Picks

Will Bitcoin price test $20,000 again?

Will Bitcoin price test $20,000 again?

Bitcoin price shows clear signs of distribution occurring on the four-hour chart, which indicates the possibility of a trend reversal. Moreover, BTC has been consolidating for more than two weeks with no direction in sight, making it a perfect place to form a local top.

More Bitcoin News

Ethereum Classic Price Prediction: ETC inching towards greatness?

Ethereum Classic Price Prediction: ETC inching towards greatness?

Ethereum Cassic price is consolidating before what appears to be the next move up. Risk management should be considered moving forward, as the ETC price will likely witness an influx of volatility.

More Ethereum Classic News

Will Binance Coin price face a drawdown as Binance suspends USD bank transfers from February 8?

Will Binance Coin price face a drawdown as Binance suspends USD bank transfers from February 8?

Binance is the biggest cryptocurrency exchange in the world. It also emerged as a key player in the crypto industry owing to its initiatives following the FTX collapse in November 2022. 

More Binance Coin News

Digital Currency Group reaches agreement with Genesis, set to wind down its loan book

Digital Currency Group reaches agreement with Genesis, set to wind down its loan book

The Digital Currency Group (DCG) and Genesis have been making headlines for weeks now. The crypto lender filed for bankruptcy last month, and the heat surrounding the development is only starting to subside. On the other hand, DCG is attempting to fix it all in one go.

More Crypto News

Bitcoin: Nonfarm Payrolls on the radar after Powell’s speech propels BTC higher

Bitcoin: Nonfarm Payrolls on the radar after Powell’s speech propels BTC higher

Bitcoin (BTC) price is at an inflection point as it continues to rally amid multiple sell signals on lower time frames. The Nonfarm Payrolls (NFP) report, including the unemployment rate and average hourly earnings, is set to be announced on February 3 at 1330 GMT.

Read full analysis

BTC

ETH

XRP