Foreign Welcome to another update video about Dogecoin so I'm going to take the Red Wave count of the chart You know one of my one of my jobs here Is to take out and not focus too much on Less or less yeah less likely wave Counts and discount can be taken out it Was one of the bearish counts but it Would have implied that We are in a way forward to the upside Which would result in one more dip down But the way four was quite strong Um a little bit too strong in my opinion Um while I can calculate here for example a Target For the if we say this was an ABC yeah In a c wave You would expect this to go maximum to 10.9 cents that's fine yeah as an ABC But I would then not consider that any More a way for why because if I draw the Fibonacci retracements This has moved up too much for a way Forward it's moved up to the 61.8 Retracement and that makes it likely to Be if if it is the bearish count here a Wave two yeah Um So the yellow card I don't know what Kind of color that actually is is it Yellow not really maybe make it proper Yellow
But this is still my my preferred count Here that it will send Doge lower Is it guaranteed of course not but I Think it's important to know the key Fibonacci retracements so in this Particular count I'm looking at five waves down in a wave One So this was away four High And we're coming down in the way five In this way five put in already a wave One we're now moving up in a wave two Now that can move up a little bit higher Then we should come down in a way three Should move up in a four and come down In a five so the Dogecoin analysis here Or the Dogecoin perspective is not Clearly bullish at least And as long as I don't really see proper Five waves to the upside I'm going to Remain focused on the downside and to be Fair the mess that Dodge put in here Isn't really Um Isn't really giving us a clearly bullish Context So it looks like the dog needs to dig For another deeper hole yeah Um And if we take the Fibonacci retracement Levels now for this wave one and the Retracement we can see that for a wave 2 We've now reached the 38.2 percent Retracement that is okay for a wave tool
Is it likely well ideally we would like To see it push a little bit higher in a Wave two Um the most likely area is sort of the 50 retracement 11.5 cents maybe even the 61.8 at 12.5 yeah it could even stretch To the 78.6 retracement but above that It's most likely not a wave 2 anymore If it really pushes above 14 cents then It's most likely something more bullish And that is where the blue count comes Into play The blue count is of course possible it Looks at the entire move as a leading Diagonal a wave one up A wave two down away three up away four Down and away five to the upside in an ABC yeah or something different Um as a leading diagonal this would be Possible but for this to play out it Would ideally need to break above 16 Cents so first of all about 14. well 14 Cents and then a target for the fifth Wave would have to stretch it would have To go above the wave 3. uh above 16 Cents Um Bottom line for me is not to trade this At the moment Um the time to go long here was down Here when we hit the channel support Even though and more generally you we Have a few coins that are certainly Doing something similar like Doge and
For these coins a bullish count is not Highly likely so there is a significant Risk it's gonna break down but of course These can be traded long If the coin pulls back deep into support So if the coin is oversold you know Um or whatever you come back really deep Into support and you're close to Invalidation of a bullish count Um because then estop loss can be set Quite tight Now we have moved off key support now Quite far Um this could still be traded long it's Up to you really but I would have bought In this area yeah if I wanted to trade Doge I would have done this Um While this is not high probability to Work out bullish it could work out yeah Of course and then the advantage is that The stop loss can be set quite tight so While it's not high probability in terms Of working out as a pattern a bullish Pattern for example Um at least the risk or the reward to Risk ratio is quite interesting okay Um so yeah here bottom line for me five Waves up if I see these five waves if we Get them that would be a signal that we Can count this as a larger wave one Leading diagonal and then a wave two in An ABC pattern would provide the next Entry point
Or of course you know the alternative is Going short and it might be a good short Um at one of these FIP levels when we Have a confirmed Reversal signal yeah like a one two to The downside one two and then going long In the in the wave three four five and So on yeah Um and keys key resistance levels for These are well here the 10.5 Cent level Of course But we don't have a one two setup yet or The 50 level or the 61.8 maybe even the 78.6 of course the higher the more Overbought it will be And uh the more profitable a short trade Could be but on the four hour we still Have space to push higher so I currently Don't see that this is over yet we have A slight bearish Divergence on the chart Yeah so it's pushing higher still on the Price chart but we're putting in a Bearish Divergence on the RSI now that's A signal that could soon be over this Move up but um There is no clear signal yet yeah yes we Have a double top in place or maybe even A triple top but it hasn't got the Reversal signal I think a valid reversal Signal here would be a break below the 9.7 level That Swing Low But that's my update about Doge I hope You like the update if you did please Hit the like button leave a comment and
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