Hi friends, hope you are well. In my previous post on Ripple with Bitcoin pair we have seen that the XRP had completed the formation of bullish BAT pattern. This chart was based on midterm 2 days time period and as per Fibonacci sequence of BAT I predicted that the price action should move up from the potential reversal zone of this pattern to enter in the Fibonacci projection area of A to D leg from 0.382 to 0.786 Fib projection level.
Then we have seen that the price action moved up and entered in the target sell zone and produced more than 38% profit.
Before execution:
After execution:
A new harmonic Butterfly pattern:
This time again on 4 day chart XRP is forming another harmonic bullish Butterfly pattern and soon it will be entered in potential reversal zone to give another chance to earn more gains.
Let’s dig the pattern deeper to see how perfect it has been formed.
After initial leg (X to A) the A to B leg is retraced between 0.618 to 0.786 Fibonacci and then B to C leg is projected between 0.328 to 0.886 Fib of A to B Fibonacci projection area now the last leg (C to D) should be retraced between 1.27 to 1.618 Fibonacci level.
Buying And Sell Targets:
The buying and sell targets according to harmonic Butterfly pattern and its Fibonacci sequence should be:
Buy between: 0.00002272 to 0.00001974 sats
Sell between: 0.00002502 to 0.00003060 sats
So this midterm trade has capacity to produce upto 55% profit.
Stop Loss:
The potential reversal zone area that is up to 0.00001974 sats can be used as stop loss in case of complete candle stick opens and closes below this level.
Note: This idea is education purpose only and not intended to be investment advise, please seek a duly licensed professional and do you own research before any investment.