THREE WAYS TO IDENTIFY AN UPCOMING REVERSE WHILE EVALUATING MARKET WAVES

1️⃣ Estimate the size of a pullback using Fibonacci numbers: 38,2%, 50%, 61,8%
2️⃣ Count the number of waves. They should be approximately:
👉 3-4 when trading in a range;
👉 more than 4 when trend trading.
3️⃣ Assess the overall context. Use the volume profile and other indicators to confirm the trend reversal.

What are the Fibonacci numbers, and do they really have a “magic” power over the market? Read the article at the link https://bit.ly/3IOKt2s

#zigzag #tradingpatterns #technicalanalysis #fibonacci