VERGE (XVG): Pattern Morphing Wedge to Bull Flag

SUMMARY

Pattern morphing is surprisingly more common in Cryptos than in Equities. As shown below, prior updates had shown a potential for a wedge like formation of the recent price action bars. Given that current minor retrace is happening after a breakout, the wedge pattern had been selected as the primary short term count.

However, the pattern morphing only requires small changes in the heights of subsequent price bars to raise and straighten the upper trend line as can be seen in below chart. Note how the bullish flag can be drawn out and since wave E is not yet complete; its projected destination could coincide with the first line of support (first horizontal blue line). IF the flag is to be wave 2 of a higher degree, it can't equal the level of the lowest level horizontal blue line as then it would invalidate the wave 1 to 2 rule.

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Please consider reviewing these Tutorials on:
Elliott Wave Counting Tutorial #1
Elliott Wave Counting Tutorial #2
Elliott Wave Counting Tutorial #3
Laddering and Buy/Sell Setups.
Laddering Example with EOS
Tutorial on the use of Fibonacci & Elliott Waves
@haejin's Trading Nuggets
Essay: Is Technical Analysis a Quantum Event?

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