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Wave Analysis

Market Cycles, Natural as Night and DayThis idea is For Educational Purposes Only This Is Not Financial advice Trading is Very Risky and You can lose Money I am Not a Professional Bitcoin has a beautiful rhythmic pattern, RN Elliot was the guy who taught us what it looks like. God bless that man Wave 1 is up, usually not that exciting Wave 2 is down, and is the place to buy, any crypto You like Wave 3 is up, everybody you meet is a "trader". mainly because the up trend make humans feel like they are smarter than they really are Wave 4 is down, this one is my favorite, It breaks the hearts and minds of all the greedy so called "traders", most lose their shirts Wave 5 is the final UP wave, this is where Alt Coins shine, they pop off like popcorn! CAUTION: Wave 5 does NOT last forever, when coins like XVG touch .30 cents/ Bitcoin Cash $4100. You will know its time to sell ALL Crypto WAVE 4 will touch 20k then its Game on for a while then a lot of down down down down for years... The overall Cycle correction is Long and predictable. it Must retrace below wave 4 by at least one degree Note: It took about 820 days for the last cycle to reach its wave 2 bottom, patience is required, Save your money!! Om Shanti My friends..
BNC:BLXEducation
by dualmass
5
The Characteristics of Corrective StructuresHi fellow traders, I would like to share with you all the characteristics of the most important structures when it comes to trading waves. When reading all the rules and guidelines of the Elliott Wave Principle it might be a little overwhelming and complicated for most traders. At least to me it was when I just started learning. For that reason I've tried to put it more in perspective by drawing all the patterns and making it more visual for everyone to understand. The notes are all included on the chart and I hope it helps you during your trading sessions. If there are any questions please feel free to comment, ~ OGwavetrader Follow our Tradingview account for more technical analysis updates Like, share and comment your thoughts.
Education
by OGwavetrader
9
Bearish Cyphery Pattern - Elliott Wave Analysis Bearish Cypher Pattern , in Elliott Wave Analysis is Irregular Flat Correction or Running Flat Correction Rules The B point stands at the end of the AB leg, which is a retracement of the XA leg. The B point must lie between a 0.382 and 0.618 retracement of the XA leg; The C point lies at the end of the BC leg and should be a 1.272 to 1.414 projection of the XA leg; Point D should be a precise 0.786 retracement of the line between X and C (XC). The D point is the end of the pattern.
NYSE:DSXEducation
by Trade_Your_Way
Bullish Cypher Pattern - Elliott Wave Analysis Bullish Cypher Pattern , in Elliott Wave Analysis is Irregular Flat Correction or Running Flat Correction Rules The B point stands at the end of the AB leg, which is a retracement of the XA leg. The B point must lie between a 0.382 and 0.618 retracement of the XA leg; The C point lies at the end of the BC leg and should be a 1.272 to 1.414 projection of the XA leg; Point D should be a precise 0.786 retracement of the line between X and C (XC). The D point is the end of the pattern.
NYSE:DSXEducation
by Trade_Your_Way
Bearish 5-0 Pattern - Elliott Wave Analysis The 5-0 Pattern has the following ratios. A no specific retracement level AB leg extends XA leg between 113% – 161.8% BC leg extends 0X leg between 88,6% - 113% 113% BC leg is also an extension of AB by 161.8% – 224% CD leg should to be 50% retracement of BC The first part of 5-0 Pattern is Shark Pattern. The A-B-C leg of Shark Pattern is in Elliott Wave (w) - (x) - (y), legs of Wave A from Flat Correction The second part of 5-0 Pattern is Shark Pattern is D. D leg in Shark Pattern, in Elliott Wave is Wave B , leg of Flat Correction That is mean after B we are waiting Wave C and then PRZ
TVC:DXYEducation
by Trade_Your_Way
1
Bullish 5-0 Pattern - Elliott Wave Analysis The 5-0 Pattern has the following ratios. A no specific retracement level AB leg extends XA leg between 113% – 161.8% BC leg extends 0X leg between 88,6% - 113% 113% BC leg is also an extension of AB by 161.8% – 224% CD leg should to be 50% retracement of BC The first part of 5-0 Pattern is Shark Pattern. The A-B-C leg of Shark Pattern is in Elliott Wave (w) - (x) - (y), legs of Wave A from Flat Correction The second part of 5-0 Pattern is Shark Pattern is D. D leg in Shark Pattern, in Elliott Wave is Wave B , leg of Flat Correction That is mean after B we are waiting Wave C and then PRZ
TVC:DXYEducation
by Trade_Your_Way
Setup Video for New Version of Bad Ass B-BandsHi Everyone! Give me about 10 to 15 minutes after posting this setup video to actually update the script; which will include this setup video in the description of the script. Thank you for your attention to detail, Josue. He has been a HUGE help with improving Bad Ass B-Bands. This update will show percentage for price in-crease and percentage for price de-crease. The first number will begin with an UP arrow; indicating price percentage INCREASE if price is going UP. The second number will begin with a DOWN arrow; indicating price percentage DECREASE if price is going DOWN. Happy Trading and Stay Awesome! David
Education
by WyckoffMode
10
How To Analyze Any Chart From Scratch - Episode 3Hello TradingView Family / Fellow Traders. This is Richard, as known as theSignalyst. Today we are going to go over a practical example on SILVER, but you can apply the same logic / strategy on any instrument. Feel free to ask questions or request any instrument for the next episode. You can find the previous two episodes below "Related Ideas" Always follow your trading plan regarding entry, risk management, and trade management. Good luck! All Strategies Are Good; If Managed Properly! ~Rich
FOREXCOM:XAGUSDEducation
by TheSignalyst
27
ENGULFING CANDLE | powerful price reversal📚 ✅The engulfing model (external bar) is mainly a reversal pattern (although in rare cases it may indicate a continuation of the trend). It looks like two candles, the first of which is small, and the second is large, with a body larger than the entire previous candle, and directed in the opposite direction. ✅From the point of view of crowd movement, such a pattern means that the strength of the current trend is drying up (this is evidenced by the small size of the first engulfing candle). The crowd does not know in which direction to move and, figuratively speaking, is marking time. The appearance of a powerful candle that absorbed the previous one and closed in the opposite direction marks the beginning of a new, strong trend. ⚠️There are several mandatory conditions that the pattern must meet in order for its signal to provide the maximum probability of working out: 1️⃣Before the pattern itself, there must be a downtrend or an uptrend in the market. The movement may be small, but its presence is mandatory; 2️⃣The body of the second candle should be of a different color and orientation (bearish after bullish and bullish after bearish). Shadows may not be absorbed, but then the signal is considered weaker; 3️⃣The body of the second candle should have a contrasting color with respect to the body of the first. The exception is when the body of the first candle is very small (doji or close to it). ❤️ Please, support our work with like & comment! ❤️
Education
by UnitedSignals
7
BTCUSD | What if...?Hello, dear TW community. Today I would like to introduce my "ridiculous hypothesis" about BTC. As we all know, "Elliot Waves" have 5 impulsive moves. If we look at 1M chart, we are easily to see that BTC has never been bear market at all, all humble blocks (2014-15, 2018) that it have been through so far I might call them as "corrections". What if BTC's real bear market comes every 10 years? Then, 1 BTC's worth is equal to me between $110-$1300 right today. Good luck in trades, buddy.
BITSTAMP:BTCUSDEducation
by maximleanke
12
Spread triple top and BottomThe normal triple top has no gaps between the tops. The same philosophy applies in this pattern as in the triple top. In each case, the stock rises to a certain price level and is repelled two times. The third attempt at that price is successful by the stock’s moving through the level shown by a column of X’s exceeding the point of resistance. since the stock was repelled twice at that same level, there are apparently sell orders there. The reason is not important. What is important is that there are sellers at that particular level. The only way to know if demand can overtake the selling pressure is to see how the stock negotiates the level again. simply stated, if the stock is repelled again at this level of resistance, the sellers are still there. You need not know any more. If the stock exceeds that level, then demand has overcome the supply that previously caused it to reverse. This is why we always wait for a particular level to be exceeded before we make a long or short commitment in the stock. Friends, I conduct training in an individual format and in a limited number of students, since a large number will interfere with my trading! The training course includes : The Wyckoff Method Demark method VSA A trading method tailored to your psychotype Psychology of trading For details, write in a personal message I can also introduce you to my own unique indicators , of my own design Wykoff Zone (You determine the activity and zones of smart money and also gives buy and sell signals ) is a Demark indicator that has no analogues on the platform - since most of the indicator are far from the essence of the Demark technique and are too simplified , which violates the basics of the principle For investors, I can shift a 2-week lazy investor course where you can learn how to invest correctly and in which stocks + the tic-tac-toe method supplemented with your own developments taking into account the imbalance of supply and demand
NASDAQ:NUROEducation
by StudentWyckoff
How To Analyze Any Chart From Scratch - Episode 2Hello TradingView Family / Fellow Traders. This is Richard, as known as theSignalyst. Today we are going to go over a practical example on XRP, but you can apply the same logic / strategy on any instrument. Feel free to ask questions or request any instrument for the next episode. Always follow your trading plan regarding entry, risk management, and trade management. Good luck! All Strategies Are Good; If Managed Properly! ~Rich
BITSTAMP:XRPUSDEducation
by TheSignalyst
77
BABA, a beautiful example of ANTI complete cycle !BABA is a beautiful example of ANTI complete cycle ! Many Elliott wave practitioners are not aware of different types of wave cycles ! They may consider themselves as a genius in a bull market ( As everyone else !! ) but suddenly thing change and they can not understand what is happening in a stock or market ! On the left side of the chart there is a schematic drawing showing an ascending complete cycle . In this well know wave cycle waves go up in 5 leg and go down in 3 legs. Correction will never go below the start of wave cycle in this type ( does it go in some other types? of course goes ) !!. Many investors and traders were hoping for this cycle ( and may be were not aware of alternatives ) in BABA, opened long position at the possible end of wave 4 at related retracement levels and now have lost huge amount of money !!! An ascending ANTI complete cycle is shown on the right side of the chart. In this cycle waves go up in 3 legs and go down in 5 legs and correction will never go below the start of the wave cycle. Does BABA play like this wave cycle? So far yes. Is there any other alternative ? Of course yes ! please note we have many other types of wave cycle and we just showed two of them here !. For example, we have neutral or descending antic cycles ( for example of descending anti cycle see my related idea about BROS stock ). It is worth to note many Chinese stocks like TIGR and XPEV showed anti cycles and this is not a surprise as BABA is leading Chinese stocks in the market. Things sound complicated? Yes they are ! but we can extract many useful tips among all these complications : 1. Overconfidence is dangerous ! always set stop loss . Things may change suddenly in a way that we did not predict. 2. Be mindful there are many types of wave cycles . Things are not as simple as they may seem at first look. 3. Do not jump blindly into a long position after apparent up going 1 2 3 form of wave ! 4. Retracement more than 50 % in what we consider a wave 4 is a dangerous warning. We can add many other implications to the list by thinking deeply about different types of wave cycles. Hope this publication to be helpful. Good luck every one !
NYSE:BABAEducation
by SaeedSajedi
4
btc usdt perp ending diagonal tutorialIn this tutorial I'll try and explain how to trade an ending diagonal. You would want to see a market that moves in converging channels(at times these can be too steep like those of rising/falling wedges). Next confirm 5 waves with respect to the channel. Waves 1, 3, 5 should make a triple top, whereas 2 and 4 are joined with one diagonal. Divergences are imperative as well, upon wave confirmation, the RSI divergence should support your bias, in this case, it's a medium bearish RSI, as the price rises, the oscillator remains holding the same region. The guidelines for entries and stop losses are simple. Wait for a break of wave 4's extreme and place the initial stop loss slightly above wave 5. At times there is a retest, which pulls back close to where the extreme of the 5th wave, which is ideal for entries and dcaing. Another approach is entering at wave 5. More often than not, wave 3 of an ending diagonal is shorter than wave 1, and wave 5 is shorter than wave 3, since wave 3 can never be the shortest among 1, 3 and 5. There are a lot of profit taking strategies out there. For this setup, I take profits as a whole rather than fib levels. A typical ending diagonal results in a correction(abc) that completely retraces it (i.e wave c terminates where wave 1 begins). Note: for ellioticians, you'll find that with ending diagonals, wave 4 gets into the territory of wave one, which is valid with ending diagonals and usually this is the case where 1>3 and 3>5. Now this is the setup in summary: 1) entry triggers: - ending diagonal - waves 1 - 5 - RSI divergence - triple top - breakout/breakdown 2) entry: (i) at break of wave 4 (ii) at wave 5 (aggressive approach) If opting for ii, make sure wave 1 is longer than 3 and 5 is shorter than 3 3) stop loss: slightly above wave 5( can be adjusted once significant gains have been made) 4) take profit: wave 2, let the price move till it's the same level as wave 2, otherwise use any profit taking strategy of your choice. 5) enjoy the profits ! That's it for this tutorial, take care and thanks for dropping by :)
Education
by initmx
A Comprehensive Guide to Elliott Wave Degrees (Timeframes)Hello Traders. In this supplemental post to my Elliott Wave guide, I will help you understand wave degrees, and what the numbers actually mean when you are labeling each wave. Identifying the wave level (degree) that you are trading is going to be identified at any given time and will be based on what's known as a "degree". One of the biggest problems that new Elliott Wave traders have is grasping the structure or "nesting" of the wave patterns (check the diagram within the chart above). The patterns identified by Elliott himself, occurs across multiple time frames. This means that a completed "five wave" wave structure on a smaller time frame, for example, the 15 minute chart, may represent just the first wave of a larger wave structure unfolding on a 60-minute chart, and so forth. In a micro-macro sense, each of the unfolding wave patterns is just part of a bigger wave pattern unfolding in the higher timeframes. The sequence from wave 1 through 5 completes one wave of a higher degree (again, refer to the diagram above), that is, a wave belonging to the next higher tier of wave sequences. The movements from wave 1 through 5 completes either a wave 1, 3 or 5 of the higher degree, while the a-b-c sequence completes either a wave 2 or 4 of the higher degree. When you are getting into lower degrees, each wave of the sequence can be broken down into smaller waves accordingly to the same dynamic (this is not so important as many claim to be). The most commonly used degrees are the Primary, Intermediate, and Minor degrees when labeling your micro-macro wave counts. In the diagram above you can see how Wave 1 of the high degree is made up of a smaller 5-wave impulse waves and Wave 2 is made up of smaller three wave corrective waves. And each of these waves is, in turn, always comprised of smaller wave patterns, and so forth.
BYBIT:BTCUSD.PEducation
by XForceGlobal
15
A Comprehensive Guide to Elliott Wave Rules & GuidelinesHello Traders. In this post I will be discussing every single Elliott Wave rule and guideline according to the Elliott Wave Theory. There are many confusions upon traders when applying Elliott Wave rules, as there are also guidelines to be considered when trading. ***RULES AND GUIDELINES ARE TWO DIFFERENT SET OF TOOLS!*** Elliott Wave Theory "Rules" MUST be obeyed, I repeat, they MUST be obeyed, and obeyed precisely for an Elliott Wave pattern to qualify as an Elliott "Wave" - However, the "Guidelines" do not have to be obeyed. The more Guidelines obeyed by an Elliott pattern, the higher its "rating" or "probability" of being correct. This guide is purely a supplement guide and a quick reference for ANYONE who is trying to remember the rules and guidelines. I hope this guide helps you to further advance into the Elliott Wave Theory. Please write in the comment section below if I have missed anything, I will be glad to add them in the update section. ------------------------------------------------------------------------------ We can categorize the Rules and Guidelines into TWO distinctive pattern groups: 1. Impulsive Wave Patterns (5 wave moves), and, 2. Corrective Patterns (3 wave moves) ------- **IMPULSIVE WAVES** Impulsive Wave Rules: •Wave 2 may NEVER move beyond the origin of wave 1 (it cannot retrace more than 100% of wave 1). •Wave 4 may NEVER enter the price territory of wave 1. •Wave 3 may NEVER be the shortest wave. •Impulse waves ALWAYS subdivide into 5 waves. •Waves 1, 3, and 5 are ALWAYS 5 waves. Impulsive Wave Guidelines: •Wave 3 most often exceeds the pivot of wave 1 •On rare occasion, wave 5 will not move beyond the pivot of wave 3. This is known as TRUNCATION (refer to my EW guide). •Usually, wave 3 will extend and have 5 waves within the third wave. Occasionally, two waves will extend (3rd and 5th waves). Never will all three extend. •When wave 3 extends, wave 5 tends to EQUAL in length with wave 1. •When wave 5 extends, it frequently reaches to the length of waves 1 plus 3. •Wave 1 is the least likely to extend, but can be valid. •Sometimes, the extended wave corresponds with the current parent wave. (for example, In a higher degree wave 5, it is common for the lower degree wave 5 to extend as well) •Sometimes, the extended wave will match the number of the current parent wave •The center of Wave 3, normally has the steepest slope of the entire 5 wave structure. •Wave 2 will develop into a ZIGZAG correction, FLAT, or a COMBINATION wave (WXY, WXYXZ). Wave 2 cannot be a triangle in its entirety. •Wave 4 will develop into a ZIGZAG, FLAT, COMBINATION (WXY, WXYXZ), or TRIANGLE. Diagonal Rules: a. Leading Diagonal b. Ending Diagonal A Diagonal is a common 5 Wave Impulsive pattern labeled as a 1-2-3-4-5 that moves with the larger trend (up or down). Diagonals move within two channel lines drawn from Waves 1 to 3, and from Waves 2 to 4. A Diagonal MUST be contracting. There exist two types of Diagonals; Leading and Ending. They have a different internal structure and are seen in different positions within the larger degree pattern. Ending Diagonals are usually more common than Leading Diagonals in terms of probabilities. •Wave 1 of a Leading Diagonal must be an Impulse or a Leading Diagonal. •Wave 1 of an Ending Diagonal must be a Zigzag family pattern. •Wave 2 may be any corrective pattern except a Triangle. •Wave 2 must be less than Wave 1 by price. •Wave 3 of a Leading Diagonal must be an Impulse. •Wave 3 of an Ending Diagonal must be a Zigzag family pattern. •Wave 3 must be greater than Wave 2 by price. •Wave 4 may be any corrective pattern. •Waves 2 and 4 must either overlap or be within 10% of length Wave 3 of doing so. All internal data points are considered. •The time taken by Wave 4 must be between 10% and 10 times the time taken by Wave 2. •Wave 5 of an Ending Diagonal must be a Zigzag family pattern. •Wave 5 of a Leading Diagonal must be an Impulse or Ending Diagonal. •If Wave 1 is a Leading Diagonal then Wave 5 cannot be an Ending Diagonal. •Wave 3 must not be shorter than both Waves 1 and 5. •Wave 5 must be at least 80% of Wave 4 by price. •Wave 5 is never the longest when compared with Wave 1 and Wave 3. •Wave 5 is always less than Wave 3 by price. •The intersection of the channel lines must be beyond the end of the pattern. •Diagonals must move within the two channel lines or be within 10% of gross movement. •Channel lines must converge, slope in the same direction and neither be horizontal. •The maximum number of pattern lengths into the future that the channel lines intersect is 4. •The minimum time for Wave 5 is 10% of Wave 4. The maximum time for Wave 5 is 5 times Wave 3. Diagonal Guidelines: •Wave 1 of a Leading Diagonal is usually an Impulse, but in rare cases may be a Leading Diagonal. •Wave 2 is usually ZigZag family pattern. •Generally Wave 2 is greater than 35% of Wave 1's total price movement. •Wave 4 is commonly a Zigzag. •It is rare that at least either Waves 2 or 4 of an Ending Diagonal is not a Zigzag family pattern. •Generally Wave 4 is greater than 35% of Wave 3's gross price movement. •The end points of Waves 1 and 4 generally overlap. •Expect the time taken by Wave 4 to be between 20% and 5 times Wave 2. •Wave 5 is usually greater than Wave 4 by price. •It is typical for Wave 5 of a Leading Diagonal to end before reaching the channel line. •It is typical for Wave 5 of an Ending Diagonal to exceed the channel line. ---------- **CORRECTIVE WAVES** ZigZag Rules: A ZigZag is a three wave structure labeled A-B-C, generally moving counter to the larger trend. It is the most common three wave Elliott pattern. Zigzags are corrective in nature. •Wave A must be an Impulse or a Leading Diagonal. •Wave B can only be a corrective pattern. •Wave B must be shorter than Wave A by price. All internal points are considered. •Wave B must be at least 20% of A by price. •Although there is no minimum time constraint for Wave B, it must not exceed 10 times the time taken by Wave A. Wave C must be an Impulse or an Ending Diagonal. •If Wave A is a Leading Diagonal, then Wave C must not be an Ending Diagonal. •Wave C must be longer than 90% of Wave B by price. •Wave C must be less than 5 times Wave B by price. •It is not allowable to have both Wave 5 of A a failure (Wave 5 is shorter then Wave 4) and Wave 5 of C a failure. •Wave C must be no more than 10 times either Wave A or B in price or time. ZigZag Guidelines: •It is unusual for a Wave within Wave A to have a greater gross price movement than Wave A. •Wave B should end nowhere near beginning of Wave A •Wave B should retrace at least 30% of Wave A. •Wave B is most likely to retrace Wave A by about 38.2%. •Wave B is next most likely to retrace Wave A by about 50%. •Wave B is next most likely to retrace Wave A by about 61.8%. •The largest Wave in B is usually less than the gross price movement of Wave A. •The time taken by Wave B is usually between 61.8% and 161.8% of the time taken by Wave A. •Wave C is most likely to have a similar price length to Wave A. •The next most likely price lengths for Wave C are 61.8% and 161% of Wave A •The next most likely price length for Wave C is 61.8% of Wave A beyond the end of Wave A. •If Wave C is much longer than 161.8% of A, then the pattern is more probably the beginning of an Impulse than a Zigzag. •If Wave C is complete, and has a greater slope than Wave A, expect the Zigzag to extend to an Impulse. •Although Wave C should always be greater in price to Wave B, in rare cases Wave C can be up to 10% shorter than Wave B. •The largest Wave within C by price is usually less than the gross price movement of Wave A. •The time taken by Wave C is usually between 61.8% of Wave A and 161.8% of the shortest Wave of A and B. Flat Rules: A Flat is a three wave pattern labeled A-B-C that moves generally sideways. It is corrective and counter-trend and is a very common Elliott pattern. •Wave A can be any corrective pattern except a Triangle. •Wave B can be any corrective pattern except a Triangle. •Wave B must retrace more than 70% of Wave A. •Wave B is less than twice the price movement of Wave A, including internal points of Wave B. •Although there is no minimum time constraint for Wave B, it must be less than 10 times Wave A. •Wave C must be an Impulse or Ending Diagonal. •Wave C must share some common price territory with Wave A. •Wave C must be less than twice the longest of Waves A and B, including internal points of Wave C. •Wave C must be less the three times the price distance of Wave A. •Disallow back to back failures. •Wave C must be no more than 10 times either Waves A or B in price and time. •There is no minimum time constrains for Wave A. Flat Guidelines: •Wave A is usually a Zigzag family pattern. •Wave A is rarely an Expanding Triangle. •The largest Wave within Wave A is usually less than Wave A by price. •Wave B is usually a Zigzag family pattern. •Wave B is rarely a Flat. •Wave B is usually greater than 95% of Wave A by price. •Wave B is usually less than 140% of Wave A by price. •The largest Wave within B is usually less than Wave A by price. •The time taken by Wave B is generally between 61.8% and 161.8% of Wave A. •Wave C is rarely an Ending Diagonal. •Wave C is often about the same length as both Wave A and B. •Wave C often ends at point which is a percent of Wave A beyond end of Wave A equal to the same percentage away from the start of Wave A. •Wave C usually retraces a minimum of 100% of Wave B. •Wave C normally reaches to the end of Wave A •Wave C is not often more than 140% of the longer of Wave A or B. •If Wave C is longer than Wave B, then Wave C is often about 61.8% of A beyond end of A. •If Wave C is longer than Wave B, then Wave C is often about 161.8% of Wave A from end of Wave B by price. •The time taken by Wave C is generally between 61.8% of Wave 1 to 161.8% of the shortest of Waves A and B. Triangle Rules: CT = Contracting Triangle, ET = Expanding Triangle A Triangle is a common 5 Wave pattern labeled A-B-C-D-E that moves counter-trend and is corrective in nature. Triangles move within two channel lines drawn from Waves A to C, and from Waves B to D. A Triangle is either Contracting or Expanding depending on whether the channel lines are converging or expanding. Expanding Triangles are rare. •Wave A of a CT is always either a Zigzag based pattern or a Flat. Wave A of an ET can only be a Zigzag based pattern. •Within Wave A of a CT, Wave B must be less than 105% of Wave A's price length. The same rule applies for Waves C and D of the CT. •Wave B must be a Zigzag based pattern. •Wave C of a CT can be any corrective pattern except a Triangle. Wave C of an ET must be a Zigzag based pattern. •Wave B of a CT must retrace Wave A by 50%. •For a CT, Wave C must be less than Wave B by price and Wave C must be greater than or equal to 50% of Wave B by price. •For an ET, Wave B must be less than Wave C by price and Wave B must be greater or equal to 50% of Wave C by price. •Wave D of a CT can be any corrective pattern except a Triangle. Wave D of an ET must be a Zigzag based pattern. •Wave B, C and D must not move more than 10% beyond the A-C & B-D channel lines (based on the length of Wave C). •In an ET, Wave C must be less than Wave D by price and Wave C must be more than 50% of Wave D by price. •In an ET, Wave A must move within the A-C channel or pass through it by no more than 10% of the length of Wave B by price. •In an CT, Wave D must be less than Wave C by price and Wave D must be greater than or equal to 50% of Wave C by price. •The intersection of the channel lines must occur beyond the end of a CT, and before the beginning of an ET. •The channel lines must either converge or diverge. They cannot be parallel. •Wave D of a CT must not end such that when retraced 25% by E, E will not reach the price territory of A. •Only one channel line in a CT may be horizontal. Neither channel line of an ET can be horizontal. •The maximum time for Wave D is 4 times Wave C. •Wave E of a CT can either be a CT or a Zigzag family pattern. For an ET, Wave E must be a Zigzag based pattern. •In an ET, Wave E must be greater than Wave D by price and Wave D must be greater or equal to 50% of Wave E by price. •In an ET, either Wave A or B will be the shortest Wave in the pattern. •In a CT, Wave E will be less than Wave D by price and Wave E will be greater than or equal to 25% of Wave D by price. •In a CT, either Wave A or B will be the longest Wave in the pattern. •In a CT, the maximum time for Wave E is 4 times Wave C. •Wave E must end in the price territory of A. •Wave E must not pass through the B-D line, or if it does, by no more than 10% of the length of Wave D. •The maximum number of pattern lengths into the future that the channel lines intersect is 6. Triangle Guidelines: •Wave A is usually a zigzag family pattern. •Wave B is usually a zigzag family pattern. •Wave C is often a zigzag family pattern. •Wave C usually takes more time than any other Wave in the pattern. •Wave D is usually a zigzag family pattern. •Waves B, C and D rarely move outside the B-D line. •Waves A, B, C and E rarely move outside the A-C line. •Wave E is usually a zigzag family pattern or the same type of Triangle as the larger pattern. •Usually at least two Waves travelling in the same direction will relate by about 61.8%. •It is common for two or more adjacent Waves will be related by 61.8%. •In a CT, Wave E normally retraces Wave D by about 70%. •Double and Triple ZigZag Rules: •Double (DZ) and Triple (TZ) Zigzags are similar to Zigzags, and are typically two or three Zigzag patterns strung together with a joining Wave called an x Wave, and are corrective in nature. Doubles are not common, and Triples are rare. Zigzags, Double Zigzags and Triple Zigzags are also known as Zigzag family patterns, or 'Sharp' patterns. Double Zigzags are labeled w-x-y, while Triple Zigzags are labeled w-x-y-xx-z. Both these patterns are included in the list of rules and guidelines below. Only a Double Zigzag is illustrated below. Double and Triple ZigZag Rules: •Wave W must be a Zigzag. •Wave C of W cannot be a failure. •Wave X can be any corrective pattern except an ET. •Wave X must be smaller than Wave W by price. •Wave X must retrace at least 20% of W by price. •The gross price movement of Wave X must be less then 3 times the price movement of Wave W. •Wave X must be no more than 5 times Wave W by time. •Wave Y must be a Zigzag •Wave Y must be greater than or equal to Wave X by price. •Back to back and double failures are not allowed. •Wave Y must be greater than 90% of Wave W by price, and Wave Y must be less than 5 times Wave W by price. •Wave Y must be no more than a factor of 5 times either Wave X or W in price or time. •Wave C of Y cannot be a failure. •Wave XX can be any corrective pattern except an ET. •Wave XX must be smaller than Wave Y by price. •Wave XX must retrace at least 20% of Y. •The gross price movement of Wave XX must be less than 3 times the gross movement of Wave W. •Wave Z must be a Zigzag •Wave Z must be greater than or equal to Wave XX by price. •Wave Z must be less than 5 times Wave Y by price, and must also be less than 5 times Wave W by price. •Wave Z must be no more than a 5 times either Waves XX, Y, X or W in both price and time. •Double and Triple ZigZag Guidelines: •The largest Wave in Wave W is usually less than Wave W by price. •Wave X is usually a Zigzag family pattern. •Wave X is usually less than 70% of Wave W by price. •Wave X will usually retrace at least 30% of Wave W. •Wave X is most likely to be a 38.2% retracement of Wave W. •Wave X is next most likely to be a 50% retracement of Wave W. •Wave X is next most likely to be a 61.8% retracement of Wave W. •The largest Wave in Wave X is usually less than 140% of Wave W by price. •The time taken by Wave X is usually between 61.8% and 161.8% of Wave 1. •Wave Y is next most likely to be equal to 61.8% or 161.8% of W by price. •Expect the time taken by Wave Y to be between 61.8% of Wave W and 161.8% of shortest of Wave W and X. •Wave XX is usually a Zigzag family pattern. •Wave XX is usually less than 70% of Wave Y by price. •Wave XX will usually retrace at least 30% of Wave Y. •Wave XX is most likely to be a 38.2% retracement of Wave Y. •Wave XX is next most likely to be a 50% retracement of Wave Y. •Wave XX is next most likely to be a 61.8% retracement of Wave Y. •The largest Wave within Wave XX is usually less than 140% of Wave Y by price. •Wave Z is most likely to be about equal to Wave Y by price. •Wave Z is next most likely to be about equal to 61.8% or 161.8% of Wave Y. •The largest Wave in Wave Z is usually less than Wave Y by price. Double and Triple Sideways Rules: Double (D3) and Triple (T3) Sideways patterns are similar to Flats, and are typically two or three corrective patterns strung together with a joining Wave, called an x Wave, and are all corrective in nature. Doubles are not common, and Triples are rare. Doubles are labeled w-x-y, while Triples are labeled w-x-y-xx-z. Both these patterns are included in the list of rules and guidelines below. Only a Double 3 is illustrated below. •Wave W may be any corrective pattern except a Triangle, double or triple. •Wave C of W cannot be a failure. •Wave X may be any corrective pattern except a Triangle, double or triple. •The minimum X Wave retracement is 70% of Wave W. •The maximum price distance of Wave X is 150% of both the previous Wave and ensuing Wave. All internal data points are considered. •Although there is no minimum time for Wave X, the maximum time is 10 times the time taken by Wave W. •Wave Y may be any corrective pattern except double, triple or a Triangle in a Triple Zigzag. However, Wave Y cannot be a Zigzag if Wave W is a Zigzag. •Wave Y must be greater than or equal to Wave X by price, except if Wave Y is a Triangle. •Wave C of Y cannot be a failure. •Wave Y must be no more than 5 times either Wave X or W in price and time. •Wave Y has no minimum time constraint. •Wave XX may be any corrective pattern except a Triangle, double or triple. •The minimum Wave XX retracement is 70% of Wave Y. •The maximum Wave XX retracement is 150% of previous Wave and ensuing Wave. All internal data points are considered. •Wave Z may be any corrective pattern except double or triple. However Wave Z cannot be a Zigzag if Y is a Zigzag. •Wave Z is greater than or equal to XX by price. •Wave Z must be no more than 5 times either Waves XX, Y, X or W in price and time. •Back to back and double failures are not allowed. •If Wave Y is greater than Wave W by price, then the maximum Wave Z price movement is twice the price movement of Wave W. Double and Triple Sideways Guidelines: •The largest Wave in Wave W is usually less than 140% of Wave W by price. •Wave X is usually a Zigzag family pattern. •The largest Wave in Wave X is usually less than Wave W by price. •Wave X is usually less than 140% of W by price. •Wave X is usually greater than 95% of Wave W by price. •The most likely retracement for Wave X is 110% of Wave W. •Time for X is generally between 62% of W1 and 1.618 of the time of W1. •If Wave Y is a Triangle, the most likely length of Wave Y is about 61.8% of Wave W. If Wave Y is not a Triangle, the most likely lengths for Wave Y are 100% of Wave W, 161.8% of Wave W and 10% of the length of Wave W beyond the end of Wave W. •The largest Wave in Wave Y is usually less than 140% of Wave W by price. •Wave Y is usually less than twice the longest of Wave W and Wave X in price. •Wave Y is generally between 61.8% of Wave W and 161.8% of Wave W in time. •Wave XX is usually a Zigzag family pattern. •The largest Wave in Wave XX is usually less than Wave Y in price. •Wave XX is usually less than 140% of Wave Y by price. •Wave XX is usually greater than 95% of Y by price. •The most likely retracement for Wave XX is 110% of Wave Y. •If Wave Y is a Triangle, most likely length by price is 61.8% of Wave W. If Wave Y is not a Triangle, then the most likely lengths are 100% of Wave W, 161.8% of Wave W and 10% of length of Wave W beyond the end of Wave W, all by price. •The largest wave in Wave Z is usually less than 140% of Wave Y by price. •Wave Z is usually less than twice the longest of Wave Y and Wave XX.
COINBASE:BTCUSDEducation
by XForceGlobal
47
Elliott Waves - How to Identify Ending Diagonal?Why is it critical to be able to identify Ending Diagonal waves - because normally their completion is followed by the reversal of trend and in some cases with explosive price movements. Above are the general rules for all the internal waves and for different variations of the pattern - Expanding and Contracting Ending Diagonals. Why is Ending Diagonal forming instead of Impulse When in wave 5 - usually it occurs at the end of a growth cycle like we are observing now when the risks of investment (in case of equities) are increasing, and energy of bulls is slowly getting overwhelmed by the strength of bears, and a rapid reversal happens with some trigger point - Covid in 2020 When in wave C of zig-zag - similar but in reverse, the energy of bears is weakening when forming a correction and bulls are taking over and a new growth cycle begins It is important to note though that with great potential gains for investors, Ending Diagonal can be confused in some cases with complex corrections so traders need to be careful and considering only those cases where there is a very clear structure of waves. Here are few examples from the real equities to see the different types of this extremely important wave structure. Booking Holdings - an Expanding Ending Diagonal has been forming since the crash of the great financial crisis and with the current poor fundamentals the upcoming correction may be very deep Tesla - just recently a lengthy Running Flat correction has completed with an Ending Diagonal in wave C (although it is still risky to assume this scenario given fundamental risks) Amazon - the historic high in July 2021 was completed by an Ending Diagonal and notice how deeply it has corrected since then And here are few examples where an Ending Diagonal is potentially developing: Berkshire Hathaway - waves 1 to 4 have been formed and we are awaiting the final zig-zag of wave 5 AMD - after forming historic high the price has been correcting with ABC pattern and potential Ending Diagonal in wave C HP - waves 1 to 4 of a global impulse have been formed and it is noticeable how choppy is the movement in the final wave 5 which is likely to be an Ending Diagonal MA - similar situation as in HP Thank you for reading my post. Also let me know if you would like to see other stocks, indices, Forex or Crypto analysed using Elliott Waves.
Education
by vitalalyt
Wave personality (PART 1)Characteristic waves "1": -Commonly,during the bottom start of waves "1"the accompanied news is generally bad, the period often exhibits the occurrences of recession (during intermediate wave degrees),or even depression and war(during large wave degrees). -At this point and given that the input information on the current economic situation dos not look good,fundamental analysts continue to lower their earning estimates. -Quite commonly, wave "1" are formed as a part of the bottoming phase or more generally, during periods of disbelief and thus, tend to demonstrate deeper corrective movement in wave "2" -Wave"1",the rebound from a preceding bear trend, is constructive and offers a more structured rebound from undervalued price levels.this move often displays a subtle increase in volume and is relatively supported by market breadth. -The short interest level peaks as the majorly of market participants believe that the overall trend is to the downside.investors view the rally as last chance to sell and get out. -When waves"1" rise from either large base formed by the previous correction, or from extreme compression. They appear as dynamic and dramatic , and result is that only moderate retraced is seen in waves"2" Characteristic waves "2": -Waves"2"act so as interrupt the progress and the directional move of price.They tend to heavily retrace (but not extend) wave"1",especially, since they themselves occur mostly during the periods of disbelief,prior to the market-up phase. -More often then not,news ans fundamentals tend to be worse during the end (bottom) of wave"2"when compared to the beginning(bottom) of wave"1". -systematically,during wave"2",investors are convinced that the bear market is proceeding once more following the termination of wave"1"or what they had perceived to be another counter trend rally. -Waves"2"are often associated with downside non-confirmations.This usually takes the shape of a wakening downside momentum and breadth.adding to this , waves "2" are often accompanied by low volume an volatility,indicating a drying up of selling pressure. It is not uncommon for waves"2"to take more time in formation compared to their preceding waves "1". Characteristic waves "3": -Waves"3"are strong and broad;the trend at this point is unmistakable.waves"3" occur are confirmed during the start of what the classic approach highlight as the 'mark-up' phase. -Turnaround fundamentals stories begin to flow in the financial arena,causing an investor confidence re-build. -Waves"3" usually generate the greatest volume and price movement,as they most often extended beyond their normal limits,with respect to both time and distance. -During waves"3",successful classical pattern-breakouts are commonly observed;multi-continuation gaps,volume expansions,exceptional breadth(since almost all share price and market sectors participate),as well as major Dow Theory confirmations and runaway price movement,which create large gains in the market,depending on the wave degree. -Corrections in waves"3' are usually weak and short-lived as those who bet on buying pull-backs suffer the likelihood of missing the move. Characteristic waves "4": -In principle,the occurrence of wave "4" implies that the best part of the growth phase which was evident in wave"3" has ended. -More often then not, waves"4" appear as a form of a sideways interruption.they develop as part of the building of a base for the final fifth wave move.in part,wave "4"is seen as the "public participation phase" as termed by the classical approach(Dow Theory). -Lagging stocks build their tops and begin declining during this wave,since only the strength of wave "3" is thought to have pulled them along for the upside participation.This initial deterioration in the market sets the stage for breadth divergences,non-confirmations and subtle signs of weakness during the fifth wave. Characteristic waves "5": -specifically,in stocks,waves"5"are always less dynamic than waves"3" in terms of breadth.With the exception fifth wave extensions,they usually display a weaker momentum as well. -As a general feature, volumes in waves"5" tend to be less when compared to wave"3" volumes. -during advancing waves"5",optimism runs extremely high as further public participation emerges, despite a narrowing of breadth. Nevertheless,market action dose improve relative to prior corrective wave rallies. -Commonly,during the top (end) of waves"5",the accompanied news is positive,implying that prosperity and peace guaranteed forever as arrogant complacency becomes evident in the financial community and financial news. Characteristic waves "A": -During "A" waves of bear markets;the investment world is generally convinced that this reaction is just a pullback pursuant to the next leg of advance. the public surges to the buy side despite the first valid technically damaging cracks in trend patterns of individual stocks. -The "A" waves set the tone for the waves that follow. A five-wave "A" indicates a start of a directional or trending mode,while a three-wave "A" indicates that a flat or sideways mode will likely follow. Characteristic waves "B": -"B" waves are phonies. They are sucker plays,bull traps , speculators paradise, orgies of oddlotter mentality or expressions of dumb institutional complacency (or both). -They are often accompanied by an emotional advance of narrow list of stock,which would be evident through non-confirming signs of TA-breadth and momentum indications. -"B" waves are often unconfirmed by all/broader market indices and are almost always expected to be completely retraced by the following wave "C". Characteristic waves "C": -"C"waves inherit most of characteristic and properties of third waves in the sense that they are persistent and broad . -In the case of bearish "C"waves: +They are usually devastating in their destruction . +There is virtually no place to hide except cash +The false impression that the bull trend is "back on track" which was held throughout its preceding waves "A" and "B" tend to fade away,as fear and occasionally multiple panic phase take over. +Fundamentals ultimately collapse in response of the market action. -In the case of bullish "C" waves: +They are constructive and often render sizable gains or return in waves of large degrees. +They usually give a fake indication that the bull trend is back to stay. Source IFTA
Education
by aliasadii
Morning Star Pattern: how to trade?🌟 ❗️The Morning Star pattern is a market reversal pattern consisting of three candlesticks that indicate bullish superiority. This pattern warns us about the weakness of the ongoing downtrend, which, in turn, suggests the beginning of an uptrend. ⚠️Traders observe the formation of the "Morning Star" pattern on the price chart, and then confirm with the help of other technical tools on the Forex currency market. ✅Morning Star pattern: Three forming candles ⏺Big Bearish Candle ⏺A small bullish or bearish candle ⏺Big Bullish Candle The most important thing to remember is always that the market must be in a downtrend in order to trade according to the "Morning Star" pattern. In order to confirm the downtrend, mark the lowest lows and the lowest highs. 1️⃣The big bearish candle is the first part of the Morning Star reversal pattern. This candle indicates that the bears are in full control of the market, which means that sellers continue to pressure the market. At the moment, you should only look for sale deals, since there are no signs of a reversal yet. Here the Morning Star pattern is just beginning its formation. 2️⃣A small bullish/bearish candle is the second candle that starts with a bearish gap down. This candle indicates that sellers are unable to lower the price, despite very great efforts. The price action ends with the formation of a rather small bullish/bearish candle (Doji candle). If this candle is bullish, then we have an early sign of a trend reversal. 3️⃣A large bullish candle is the third candle that has the greatest significance, because here the real pressure of buyers is manifested. If the candle starts with a break, and buyers can push prices up by closing the candle even above the first red candle, this is a clear sign of a trend reversal. ✅Morning star: how to trade this pattern on Forex? As we already know, the Morning Star pattern is a reversal pattern. As a rule, it indicates that bulls are capturing the trend, and bears are losing control. Most beginners trade using the "Morning Star" pattern on their own, without using technical tools, or at least tips from more professional traders. We do not recommend doing this — it is not as reliable as it may seem. Always connect this pattern with other reliable indicators, support and resistance levels, as well as trend lines. So, in this strategy, we combined the Morning Star pattern with volume. Volume plays an important role in the formation of the model. If the first red candle shows a low volume, then this is a good sign for us. Then, if the second candle is green and the volume is growing, this indicates buyer pressure. After all, the volume of the third long green candle should be high. The large volume of the last candle indicates the confirmation of the upcoming trend and the entrances to purchase transactions. If the third bullish candle has a low volume, do not pay attention to the fact that the Morning Star is forming. This volume does not indicate a bullish reversal. To sum up: do you observe the closing of the third candle with a large volume? Open buy positions and move along with the uptrend until there are signs of a reversal. ✅Morning Star pattern: entry, take profit and stop loss We have to open a deal when the next green candle closes. There are many ways to lock in profits. We can close a position in any resistance zone or supply-demand zone. In this deal, we hold our positions because we have opened a deal since the beginning of a new trend. You can also close your positions when the price approaches a significant resistance level on the higher timeframe. ⚠️Combining this pattern with volumes makes trading more reliable. Therefore, you need to place a stop loss just below the second candle. ❤️ Please, support our work with like & comment! ❤️
BITSTAMP:BTCUSDEducation
by UnitedSignals
10
How To Analyze Any Chart From Scratch - Episode 1Hello TradingView Family / Fellow Traders. This is Richard, as known as theSignalyst. Today we are going to go over a practical example on USDCHF, but you can apply the same logic / strategy on any instrument. Feel free to ask questions or request any instrument for the next episode. Always follow your trading plan regarding entry, risk management, and trade management. Good luck! All Strategies Are Good; If Managed Properly! ~Rich
Education
by TheSignalyst
49