How to analyze the current move up using elliot wave.

Photo 1.

In this case we created a 5 wave move. The pattern is full and should reverse soon holding support at 78.6 and 61.8. These are the normal targets of a wave 2. If this happens a low risk high reward will follow as a wave 3 is the next move which is most likely impulsive.

Photo 2

In this case we are going higher in an ABC and we will lead to another low after the correction. Pay attention to 59500 level. We will see what happens after.

The good thing about this setup is wave B and wave 2 have similar targets and both are heading up after the next correction. The main difference is the targets and if its bullish it will have 5 waves instead of 3.

The data is on a very fragile time frame and can change quickly. This is why i dont trade on lower time frames but i use it to monitor trend changes and reversals.

This is for educational purposes only. Wave 2 can be traded but trade on your own risk. Understand the levels and decide from there.

More data is required and this is why i always say TA is different from trading. We use TA to create a strategy based on probabilities. Then we can decide a if a trade is good in terms of risk to reward