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Ending Diagonal

10 Year US Notes Looking Lower10Year US notes can be trading at the start of a new bearish leg, after a completion of a higher degree complex correction within blue wave IV. Current sharp reversal was quite expected, as price formed an ending diagonal pattern within the final wave (C) of IV, which usually suggests a sharp reversal after its completion. That said current weakness can now represent red wave (1), part of a bigger bearish leg that can unfold in weeks to come. More weakness is now expected on the 10 year us notes, but be aware corrections will pop up during the process, and the first one can already be minor wave 4 of (1). Ending diagonal An ending diagonal is a special type of pattern that occurs at times when the preceding move has gone too far too fast, as Elliott put it. A very small percentage of ending diagonals appear in the C wave position of A-B- C formations. In double or triple threes, they appear only as the final “C” wave. In all cases, they are found at the termination points of larger patterns, indicating exhaustion of the larger movement. structure is 3-3-3-3-3 a wedge shape within two converging lines wave 4 must trade into a territory of a wave 1 appears primarily in the fifth wave position, in the C wave position of A-B- C and in double or triple threes as the final “C” wave Disclosure: Please be informed that information we provide is NOT a trading recommendation or investment advice. All our work is for educational purposes only.
CBOT:ZN1!
by ew-forecast
1
All eyes on the "loonie" (USDCAD)Earlier Fractology published its bullish view on USDCAD. We were wrong to expect an upside move that soon. As of now, Fractology does not change its bullish analysis and we keep on looking for buying opportunities. On the chart above there is a chance of forming an expanding ending diagonal which has no other choice but to resolve up. Secondly, any chart rejects the possibility of a price moving in a straight line without a decent correction. Therefore the lower the pair comes the higher we expect a retracement. Fractology recommends having a look at NZDCAD which has a similar setup and might surge up this week.
Long
by AleksandrLombrozo
1
Is it finally time for the Looney to drop?Hi All, This pair has been very frustrating of late and from what I have seen, it is a bit of a rouge pair as it doesn't follow the DXY basket movements even though it accounts for 9.1% of it's movements. With that in mind, CAD must be the corrective pair in the DXY as it does the opposite to EUR and CHF which explains the rouge / corrective nature that the Looney is. However, it does look like it has come to an end based on my EW count as listed below. Updated count: Overall count I have is a Flat correction (3-3-5) broken down like this... Wave A: 3 Wave ZZ correction Wave B: 3 Wave Flat correction Wave C: - Ending Diagonal or an ascending triangle (5 waves broken down into 5 x 3 corrective waves) Wave 1: Double ZZ (WXY) Wave 2: Flat Correction Wave 3: Double ZZ (WXY) Wave 4: ZZ Correction wave 5: ZZ Correction (Key thing to note here is that wave A vs. C has now hit 100% which is a key termination point so possible reversal could be in play) I am not looking for short entry for a possible BIG short to target 1.15720. Keep an eye on this one for sure... Good Luck! Don
Short
by donaldsaw
ATVI Ending Diagonal?Not big fan of selling into corrections but look how fast the price has moved down from recent Ending Diagonals (good RSI divergence to support these). Most of the ending diagnosis retrace back to the end of wave 2 so we could see a correction down to 44.60 There could be one more move up before the correction (Although RSI suggests that may not be the case) Drop down to a lower time frame to confirm the breakout before taking the trade in case we do get one more move up.
NASDAQ:ATVIShort
by Unlucky13
EURUSD - UP UP AND AWAY!!!!!!Hi All, I think the end is near for this pair as USD rallied despite the massively low employment figures. I seems like the remaining USD buyers are closing their orders which has creating an even bigger divergency across the board so a rally from EUR should happen imminently. Here's a quick recap of my wave count of the final wave C which looks complete. Starting from the low at 1.03411 Wave 1: Leading Diagonal impulse move to the upside. Wave 2: Looking like an running wave A) double ZZ combo (WXY), wave B) Expanded Flat Current wave C) I have counted the primary and sub waves as labelled with wave 4 fib extensions, wave 2 (ZZ) and wave 4 (Flat) - rule of alternation all met and wave 5 is an ending diagonal which is a terminal move so a change of direction is expected. Hopefully we will see a big rally by EUR next week as it is the start of wave 3 in a bigger timeframe. Best of luck all... Don
Long
by donaldsaw