Waves states that 3-Wave corrective waves are always contrary to true market direction.
BUY SIGNAL: ( - 2nd Chart)
Green dips under Red to bear side
CONFIRM (WAD-SMA plus - 3rd Chart) :
WAD Red dot changes to Green below a Green Pyramid or WAD line touches Green Pyramid line
WAD Red dot changes to Green above Red Pyramid
WAD Left scale Green Block will have risen Above Red Block
WAD Credit: https://www.tradingview.com/u/ChrisMoody/#published-charts
CONFIRM: ( - 4th Bottom Chart)
Green and Red has dipped and formed or beginning to form a curve (OverSold) of the chart
CONFIRM ON 1-MIN TIMEFRAME (CMF-Chaikin - 1st Chart - Yellow Line) :
Reflects the current True Market Trend:
For Maximum rise make sure the Yellow line touches or has risen above your chosen entry position on the 1-min chart.
Left Vertical Scale Bar Yellow Block will have risen above Red or Green Price Block, preferably Red.
When divergence from price is noticed on the , this indicator can be used to verify True Market Trend Direction, can be cross referenced and verified via comparing price, if both agree, then the market is in divergence to the .
CONFIRM: (Blue Bottom Donchiain Channels - 1st Chart)
Price is "oversold via candles having bottomed and stepped-down 3-steps / Waves
Place your limit order to buy at your exchange based upon the 3rd Step / Wave average numerical value of the steps
Right vertical scale reflects the most recent High and Low of recent channel in two Blue Blocks, you can set your Entry and offset your Stops and Take Profit orders from the two Blue Blocks.
function in a reaction to an action
If Price Tops Stepping-Up Top Blue Channel = Price Is OVERBROUGHT = Impending PRICE DROP
If Price Drops Stepping-Down Bottom Blue Channel = Price Is OVERSOLD = Impending PRICE RISE
Early Exit : ( - 4th Bottom Chart)
Green cross below Red in the upper top part (OverBrought) area of the chart
May dance / twist together a couple of times first, wait for the gap divergence between Green below Red
Late Exit : ( - 1st Chart)
Green cross below Red to the Bear Side of the Chart
Shown For Use With a 30-Min TimeFrame
Make Sure To set your Stop Loss
This chart's default is for a 30-Min TimeFrame, but can also be used on the 1-Minute TimeFrame for Interday Trading with trades taking only 2 to 3 Mintues.same rules apply.
Short Version (Crash Course - 4 Hour Read): http://www.elliottwave.net/educational/basictenets.htm
Short Long Version - http://elliottwave.com/tutorial/
Long Version (By The FirePlace Read) - http://issuu.com/elliottwave/docs/ewp2008-no-cover-unsecure
Prechter graduated from Yale University in 1971 with a degree in psychology. He served as the 21st president of the Market Technicians Association, and is a member of the Shakespeare Oxford Society and the Triple Nine Society. For more information, visit http://www.robertprechter.com.
Prechter won the U.S. Trading Championship in 1984 with a then-record 444% return in four months in a monitored, real-money options trading account. His publication, The Theorist, won numerous speaking, timing and publishing awards during the 1980s, and in 1989, he was named “Guru of the Decade” by the Financial News Network (now CNBC). In 1999, Prechter received the Canadian Society of Technical Analysts’ inaugural A.J. Frost Memorial Award for Outstanding Contribution to the Development of . In 2003, Traders Library granted him its Hall of Fame award.