Bullish Wolfe Wave on XRX

Wave Structure: The chart displays a 5-point structure typical of a Wolfe Wave:

Points 1, 2, 3, 4, and 5 align with the criteria for the pattern.
The line connecting points 1 and 4 represents the Potential Target Line (PTL), which forecasts the future price target.
Point 5 is crucial as it marks a potential reversal area, signaling a buy opportunity in bullish Wolfe Waves.

Key Levels:
Support: The price near the 5th point aligns with strong support within the trend channel.
Resistance: Key resistance zones are observed near $12.99 and $22.50, acting as medium- and long-term targets.

Indicators:

RSI (shown below the price chart) suggest divergence, where momentum weakens on a downtrend, indicating a potential reversal.
The green EMA200 represents dynamic resistance, and a break above it could confirm the bullish reversal.

Trade Idea
Entry Point: Near the current price of $9.17, where Point 5 of the Wolfe Wave is forming. This area serves as the optimal entry zone for a potential long trade.

Profit Targets:

First Target: $12.99 (intermediate resistance).
Second Target: $22.50 (aligned with the Wolfe Wave's PTL).
Stop Loss: Place the stop below the low of Point 5 (approximately $7.50) to limit downside risk.

Risk-Reward Ratio: Aiming for a ratio of at least 3:1, with upside potential significantly outweighing the downside.

Scenario Validation
If the price breaks above the moving average and sustains, it confirms the Wolfe Wave setup.
Failure to hold support near Point 5 invalidates the pattern, triggering the stop-loss level.