* This is my observation*
Looking at XAUUSD - 30 minute chart here: Appears to be a ZIGZAG retracement wave (5-3-5) playing out.
For a ZIGZAG pattern (5-3-5 / ABC ), a rule for wave B is that it retraces wave A either 50%, 61.8%, 76.4% or 85.4%, which here it retraced to the .764, or 76.4% which was $1738.415 (The high was $1738.755).
Now for wave C, the rule is that it is either a 61.8%, 100% or 123.6% extension of wave A, making our respective targets: $1714.421, $1699.380, $1690.087.
I personally think we will exceed the 100%, or 1:1 extension of wave A, and go for the 123.6%, or 1:1.236 extension of wave A.
I personally sold at $1738, but even at the current price ($1725), if you were to target the 1:1.236 extension and have a stop loss slightly above the height of wave B, it would have a Risk:Reward ratio (R:R) of above 2.25.
If you have any questions or comments, please feel free to comment below.
If you like my content, make sure to 'like' and 'subscribe' for more!
Thanks
Looking at XAUUSD - 30 minute chart here: Appears to be a ZIGZAG retracement wave (5-3-5) playing out.
For a ZIGZAG pattern (5-3-5 / ABC ), a rule for wave B is that it retraces wave A either 50%, 61.8%, 76.4% or 85.4%, which here it retraced to the .764, or 76.4% which was $1738.415 (The high was $1738.755).
Now for wave C, the rule is that it is either a 61.8%, 100% or 123.6% extension of wave A, making our respective targets: $1714.421, $1699.380, $1690.087.
I personally think we will exceed the 100%, or 1:1 extension of wave A, and go for the 123.6%, or 1:1.236 extension of wave A.
I personally sold at $1738, but even at the current price ($1725), if you were to target the 1:1.236 extension and have a stop loss slightly above the height of wave B, it would have a Risk:Reward ratio (R:R) of above 2.25.
If you have any questions or comments, please feel free to comment below.
If you like my content, make sure to 'like' and 'subscribe' for more!
Thanks