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Elliott Wave Analysis - TradingLounge Daily Chart, Cardano / U.S. Dollar (ADAUSD)

ADAUSD Elliott Wave Technical Analysis
Function: Follow Trend
Mode: Motive
Structure: Impulse
Position: Wave 2
Direction Next Higher Degrees: Wave 3 (developing)
Wave Cancel Invalid Level: Not specified

The ADAUSD daily chart indicates the completion of both wave 1 and wave 2 within a bullish impulsive structure. Wave 2 retraced near the Fibonacci 0.618 level at approximately 0.543 USD. Currently, wave 3 is emerging with an expected Fibonacci 1.618 extension target from wave 1 around 0.685 USD.

Trading Strategy

• ✅ For Short-Term Traders (Swing Trade):
• • Consider buying during dips.
  • Set Stop Loss just below 0.511 USD.
• 🟥 Risk management is critical. Price moving below 0.511 USD invalidates the bullish outlook in the short term.
   

Elliott Wave Analysis - TradingLounge H4 Chart, Cardano / U.S. Dollar (ADAUSD)

ADAUSD Elliott Wave Technical Analysis
Function: Follow Trend
Mode: Motive
Structure: Impulse
Position: Wave 2
Direction Next Higher Degrees: Wave 3 (developing)
Wave Cancel Invalid Level: Not specified

The H4 chart mirrors the daily analysis. Wave 1 and 2 of the uptrend are complete, with wave 2 hitting the 0.618 Fibonacci retracement near 0.543 USD. An impulsive wave 3 is likely forming, targeting approximately 0.685 USD based on wave 1's 1.618 Fibonacci projection.

Trading Strategy

• ✅ Swing Trade Approach:
• • Look for buy opportunities during retracements.
  • Maintain Stop Loss below 0.511 USD to manage risk effectively.
• 🟥 A break below 0.511 USD calls for re-evaluation of the current bullish setup.

TradingLounge Analyst: Kittiampon Somboonsod, CEWA
Source: Tradinglounge.com

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