Hello there
In my previous post on Monday morning I wrote that we had a potentially completed an abc structure down... a few hours later we printed slightly lower lows, at that point I posted an update on twitter saying that I was monitoring the potential of an ending diagonal in the fifth wave position...
Well I think that ending diagonal did indeed play out, with a little catch though, as the final fifth wave truncated (and that means that it failed to go below the 3rd wave low, a sign of strength). It is pretty uncommon to see a diagonal truncate, but I have seen it before. I have a lot of years of experience in counting waves, and I can say that truncation & running corrections are very common, as it's a great way to make counts complicated especially for the less experienced wave counters.
Anyways, the ending diagonal in XRP was confirmed since we retraced the entire diagonal in less time then it took to form... So we have a potential bottom in place ; finally some good news after a few tough weeks ....
Above you can see the ending diagonal in the fifth wave position in white to end the c leg of a zigzag sequence. The fifth wave failed to go below the 3rd wave : a truncation. 
If we zoom out a bit you can see all the price action since I started counting upward in December... so that gives a zigzag up & a zigzag down... The down sequence did not go below the start, that is positive... However the down sequence did retrace more then 90% of the advance, so it is a potential flat wave (3-3-5) in progress. A flat wave in this position would be a bearish counter trend move. That said, the down leg can also work as an X wave no matter how much it retraced.... but the danger of a flat wave is there to stay.
Also on this chart you can see that I count the price action since the low as an abc and not an impulse, so that means that if we are indeed going up we would have to be in a leading diagonal in the first wave position - so I will have to monitor if that diagonal is indeed forming in every detail (diagonals have strict rules). I would have liked an impulse better, but it is what is it, and I cannot make an impulse work with the price action since the low.
If that diagonal does indeed form it will remain a choppy affair with zigzags in either direction the next couple of days, providing some higher prices but nothing spectacular. After completion of the diagonal pattern we would see a correction followed by a more powerful move upward (a 3rd wave). Let's see if it plays out like this....
No change to the big picture, the count can remain as it was with uptrend since December, working on zigzags on the lowest degree
Check my previous post for more information about this complicated count.
Hopefully we can make some progress in the next few weeks.... real 'moon' moves are not expected anytime soon, since we have to finish the low degree zigzags before switching to the next degree....
Have a good weekend, and hopefully the count remains alive.... until next time
