VIRTUAL TA Masterclass — Elliott Wave Meets Gartley Harmonic

5月22日

VIRTUAL has been on fire! Printing a clean 5-wave Elliott impulse with a +431% run in just 33 days. But after every strong trend comes a healthy correction, and that’s where we likely are now. Trading below key resistance and showing signs of exhaustion. The question: Where is the next high probability trade setup?

Let’s break down what the chart is telling us.

🧠 Structure Overview

• Wave 5 peaked at $2.2169
  
• Wave A dropped -25%
  
• Wave B bounced +30%
  
• Currently: VIRTUAL's trading under the $2 psychological level and weekly open ($2.0358) → signs of momentum cooling
  

A corrective Wave C is likely underway, and all signs point toward a very specific zone.

⚠️ Liquidity Dynamics

The longer VIRTUAL grinds sideways near $2.00 without showing real momentum, the more vulnerable late long positions become:

• Retail traders are buying resistance
  
• SLs are likely clustered just below Wave A’s low
  
• This creates a liquidity pocket waiting to be swept — perfect fuel for Wave C
  

🔍 The $1.58–$1.47 Support Cluster: 14 Layers of Confluence

This zone isn’t guesswork — it’s loaded with technical overlap:

1️⃣ 1:1 Trend-Based Fib Extension of Wave A → $1.573
2️⃣ Monthly Open → $1.5354
3️⃣ 0.382 Fib Retracement of the entire rally → $1.5295
4️⃣ Bullish Fair Value Gap → $1.57–$1.53
5️⃣ Anchored VWAP from ATH → ~$1.46
6️⃣ Anchored VWAP from Wave 3 → ~$1.46
7️⃣ 0.618 Fib Speed Fan Support (~end of May timing)
8️⃣ 4H 233 SMA → ~$1.52
9️⃣ 4H 200 EMA → ~$1.52
🔟 Daily 200 SMA → $1.5251
1️⃣1️⃣ Weekly 21 SMA → $1.462 (reinforces the VWAP zone)
1️⃣2️⃣ Declining Daily Volume → momentum weakening
1️⃣3️⃣ Liquidity Pool below Wave A → likely to be swept
1️⃣4️⃣ $2 = Golden Pocket Resistance + Psychological Barrier

🔴 Short Trade Setup (Active as Long as SFP Holds)

For those favouring downside continuation toward the Wave C target, a short setup is in play:

• Entry: Weekly open retest around $2.0358
  
• Stop-loss: Above SFP high at $2.143
  
• Target: 1:1 Trend-Based Fib Extension of Wave A → $1.573 or the Swing Low of Wave A at $1.647
  
• R:R ≈ 1:4 — a solid, well-structured short opportunity
  

As long as price remains below the SFP and the $2.00 golden pocket resistance, bears maintain control.

🟢 Long Trade Setup

• Entry: Ladder between $1.58–$1.47
  
• Avg. Entry: ~$1.53
  
• SL: Below $1.40
  
• TP1: $1.88 (local resistance) → R:R ≈ 1:2.5
  
• TP2: $3.33 (0.618 Fib of entire bear market) → R:R ≈ 1:12
  

👉 Bonus TP for Harmonic Setup: 0.618 Fib of CD leg

✨ Bonus Confluence: Potential bullish Gartley Harmonic in Play

VIRTUAL is also forming a valid Gartley harmonic pattern — one of the most reliable reversal setups in classical trading theory.

🔸 XA: B retraced to 0.602 → ✅ (criterion: ~0.618)
🔸 AB: C retraced 0.87 → ✅ (valid range: 0.382–0.886)
🔸 CD: Projected to complete at 0.786 of XA → ~$1.474
  • CD is a 1.356 expansion of BC
  • AB ≈ CD symmetry is valid
  • TP = 0.618 retracement of CD leg

This adds even more weight to the $1.47–$1.53 buy zone.

📘 Educational Takeaway

The best setups don’t rely on one method — they align multiple disciplines. Here, we have Elliott Waves, Fibonacci retracements, anchored VWAPs, volume structure, moving averages, time symmetry, and now a harmonic pattern — all pointing to the same opportunity. Most traders never wait for alignment. That’s why most lose.

💬 Final Words

✍️ Smart trading isn’t about always being in a trade — it’s about being in the right one at the right time.

While others FOMO at $2, you wait for the right opportunity to come to you — where structure, liquidity, and probability all shake hands.

The patient are rewarded. Always.

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If you found this helpful, leave a like and comment below! Got requests for the next technical analysis? Let me know.

5月23日

取消訂單

📢 Quick Update on VIRTUAL:

VIRTUAL broke back above the weekly open and just swept the $2.2169 high — now trading right at that level.

Short setup has been invalidated, and the harmonic pattern is no longer in play.

Time to reassess and wait for the next high-probability setup. Stay sharp.

5月25日

註釋

🚨 VIRTUAL Update — May 25

📘 Education Insight: Why SFPs Are One of the Best Trade Setups

A Swing Failure Pattern (SFP) happens when price briefly breaks above a key high (or below a key low), grabs liquidity, then sharply reverses — trapping breakout traders and triggering stop-losses. It’s a classic move that smart money uses to exploit emotional entries.

Here’s what makes SFPs so effective:

1️⃣ Liquidity Magnets — They often occur where stop-losses cluster, meaning they’re fueled by smart money liquidity grabs.
2️⃣ Clear Risk — The invalidation point is obvious (the wick high/low), allowing for precise stop placement.
3️⃣ High R:R Potential — Once the trap is sprung, price often reverses fast, giving strong reward relative to risk.
4️⃣ Versatile — SFPs show up on all timeframes — 15-minute or daily, the concept holds.
5️⃣ Even Stronger with Confluence — When SFPs align with key levels (Fibs, VWAPs, Order Blocks), they become extremely high probability.

🧠 Bonus Insight: SFPs work because they exploit retail psychology. Price fakes out in one direction, triggers stop orders, then violently reverses — emotion meets precision. That’s opportunity.

But timing matters.

In VIRTUAL’s case, the SFP at $2.1429 looked valid — but price was still trending upward. It was above the anchored VWAP from $1.647, holding higher highs and higher lows, and still respecting its local golden pocket. That’s not a place to short without further confirmation like structure breaks or lower highs forming.

Then came the next SFP — a cleaner one. Price swept the $2.2169 high, with a retest and sharply rejected. That second move was the true low-risk short opportunity — a clear liquidity grab followed by confirmation.

🎯 What’s Next?

The long setup remains intact. Price is likely heading lower to shake out late longs who chased the highs. Keep an eye on:

🔹 $1.772 — sell-side liquidity
🔹 $1.647 — key sell-side liquidity
🔹 $1.551 — 0.382 Fib retracement of the entire move, a potential long entry zone

Wait for structure and confirmation before jumping in.

🧠 Key Takeaway:

🔹 Don't short into strength without confirmation.
🔹 Watch for SFPs — they often offer low-risk, high-reward trade setups.
🔹 Let the structure break — then act.
🔹 Use tools like anchored VWAP, Fib levels, and SFPs together.
🔹 The best trades come where structure, timing, and psychology all align.