1- start with march crash or beginning of decline in Jan
2- always look at the bigger picture, zooming in details is important but will be full of headaches and will be helpful for day trading rather than investment
3- learn the type of waves, all of them . and if you want to be really good at elliotwaves focus on correction patterns ( 80% of time markets are correcting ) generally you shouldn't trade corrections but if you are really good then you can do it
4- if you are day trading, then look at the sub waves and see what are they ( correcting ? CCC or is it motives MCMCM) then try to identity early one what wave shape they will form in future , if you are right bingo you make money, if you are wrong keep that stop loss active
5- Fibonacci is important, not sure how you did that extension measurement up there looks to me like you are trying to place the 1.618 on top of wave 3 also your 0 should be on the bottom of the candle flint, yes it matters
your 100 should be on top of the current wave you just finished, there are different rules for fib measurements of each wave
6- never never violate laws of elliotwaves in a state of emotion or denial, for example Wave 2 can never retraces more than 100% of wave 1 and so on
7- if you cannot read a wave or have difficulty in seeing it, zoom in 30 / 15 / 5 mins chart till you confirm it
8- hekin ashi maybe is a bit clouding your vision, switch to normal candles
in summary what i see here is called a corrective zig zag ( started from march decline 5 waves down then A B C then climbed 5 waves up )
so your wave 4 is actually wave 1 , retracement is good i guess around 0.38 to 0.5 then you reach wave 3 at 33.10 however wave 4 broke elliotwave rules and went below the top of wave 1 so now it became 5 waves correction down till 30th of june
on june 30th you start back again at wave 1 .2 .3 and the price today just finished wave 5 and is doing ABC " wave 4 is very tiny sub wave but it counts "
currently the stock is moving in horizontal path, which means its losing momentum or these is a nasty price war between bulls and bears, look at examples of motive wave and be careful from counting corrections as motives
keep practicing and you will get really good :)
Good luck
Waves_of_life
⋅
Also on the bigger bigger picture from march decline, you are still in wave B and the stock should go back to levels of wave A @ 27.03
chak16
⋅
@Waves_of_life, I honestly appreciate your time for this. I was reading a book and applying as I go. Since I am in the impulse section that why I can only see impulse. Corrective waves are bit hard since there are no rules that I know like wave 4 cannot go below wave 2. Also, I was looking for someone to help me with this but most people were asking for money. Maybe I will ask you questions now regarding Elliot's wave. 😊
Waves_of_life
⋅
@waqas141, there are correction waves rules !!
ABC Correction Rules: 'ZIGZAG' (5-3-5)
A simple three-wave correction pattern labeled A-B-C, also called a ZIGZAG correction.
The ABC correction wave is the simplest of all Elliott wave correction patterns.
Here are the main Elliott wave rules for ABC corrections:
The ABC correction pattern subdivides into 5-3-5 internal wave pattern.
Waves A and C tend towards equality in length.
The ABC correction wave usually appears in the position of wave '2'.
An ABC correction wave will usually target the 61.8% retracement of the trend move.
Using these guidelines, you can estimate a possible ending point to wave C using the length of wave A.
When the structure is complete and wave C has come to an end, A trader can place an order at the end of wave B, expecting the price to turn back into trend again.
chak16
⋅
looks like the wave count is wrong.
chak16
⋅
Also, I have issues counting lower degree waves for wave 1 and 3
1- start with march crash or beginning of decline in Jan
2- always look at the bigger picture, zooming in details is important but will be full of headaches and will be helpful for day trading rather than investment
3- learn the type of waves, all of them . and if you want to be really good at elliotwaves focus on correction patterns ( 80% of time markets are correcting ) generally you shouldn't trade corrections but if you are really good then you can do it
4- if you are day trading, then look at the sub waves and see what are they ( correcting ? CCC or is it motives MCMCM) then try to identity early one what wave shape they will form in future , if you are right bingo you make money, if you are wrong keep that stop loss active
5- Fibonacci is important, not sure how you did that extension measurement up there looks to me like you are trying to place the 1.618 on top of wave 3 also your 0 should be on the bottom of the candle flint, yes it matters
your 100 should be on top of the current wave you just finished, there are different rules for fib measurements of each wave
6- never never violate laws of elliotwaves in a state of emotion or denial, for example Wave 2 can never retraces more than 100% of wave 1 and so on
7- if you cannot read a wave or have difficulty in seeing it, zoom in 30 / 15 / 5 mins chart till you confirm it
8- hekin ashi maybe is a bit clouding your vision, switch to normal candles
in summary what i see here is called a corrective zig zag ( started from march decline 5 waves down then A B C then climbed 5 waves up )
so your wave 4 is actually wave 1 , retracement is good i guess around 0.38 to 0.5 then you reach wave 3 at 33.10 however wave 4 broke elliotwave rules and went below the top of wave 1 so now it became 5 waves correction down till 30th of june
on june 30th you start back again at wave 1 .2 .3 and the price today just finished wave 5 and is doing ABC " wave 4 is very tiny sub wave but it counts "
currently the stock is moving in horizontal path, which means its losing momentum or these is a nasty price war between bulls and bears, look at examples of motive wave and be careful from counting corrections as motives
keep practicing and you will get really good :)
Good luck