Wait for wave 4 5 and then sell stop
Comment: This trade doesn't look like it's going to make a 4-5 before it goes to the stop :(
I use a mix of both. It's easy to find the patterns on the higher timeframes. On a pattern like this where there are many different points for X I look at the volume and which ever point had the highest volume I make my X. The most important part to finding these patterns is to make sure point D made 5 waves that follow elliott wave rules. Lots of people sell on a wave 3 which is a guaranteed loss.