As can be seen from the picture, a local maximum of 21870 is formed. On the graph, the maximum is indicated by a large red dot and a bold red line stretching from it. Also in the bottom window we see the presence of a red bar formed by the Extreme Spike indicator. This set tells us that we should look for an opportunity to enter sales. I marked this extremum with the number 0. Next, we see that a zigzag with vertices 1 and 2 is formed on the M5 timeframe. We always look for entry into the market only after the second zigzag point is formed !!!!
In this concrete situation, I consider the entrance to the sale after the formation of the second point unsuccessful for the following reasons ...
1. A very small correctional wave from point 1 to point 2. As can be seen from the picture, the correction value was 38.2% Fibo. This is very small. I am starting to consider market entries with corrections from 50% and higher. I consider the most successful levels to be 61.8% and 76.4%.
2. As we see in the main chart window, during the correction the background could not change color to blue and not a single candle of blue color was formed. This once again confirms the fact that the corrective movement was weak and unexpressed. Conclusion - we ignore this point 2 and are not looking for market entry in the current situation. I expect a more significant rollback of the price up.
