There are infinite ways to look at price action, from simple market geometries such as parallel lines creating channels, to symmetrical projections, to 1.618-Fib derived projections, to advanced patterns and other occult geometries. Question though, remains: Are we capable to forecast price action reliably?
In this WEEKLY view of the EURUSD , there are infinite ways to project patterns therein as well. What I have defined here are simple , especially the overarching 1-2-3-4-5 one, which may or may not define the five point requirement of a (it's lacking the upward tilt to be a true ), or perhaps it may define the Pattern.
In fact, I would chance to say that the theorist would even consider Point-5 as a convergent point of major and minor waves as well (which I know to be true, since I received a EW picture defining point-5 as such major confluent point.
In my own way, I replied that a smaller (light blue) Pattern ("WW") is nearing completion, and that it may n fact threaten to contradict all above pattern expectations ( , EW wave count). And then again, it may not.
My point here is that predictive analysis and forecasting, which is what I specialize in, cannot come from patterns or price action alone. There are other filters as well as non-price events that have to come into play to help the prospective trader to elevate a trading idea to a plan.
Although I do use Fibs, , and patterns, I have also moved on to other occult ways to anticipate a price action, but the most important feature of the trade is to remain disciplined and flexible.
In remaining disciplined, one has to first plan a trade, then trade the plan. But also remain flexible by anticipating an unforeseen pattern, a new structural level defining a significant , ... etc.
Here, I will leave you with this chart, which can easily be made your own to manipulate the lines, and perhaps offer me and the other readers a piece of your mind, an idea, or a lesson. I will leave this chart active for this purpose.
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One month ago, I offered this geometry, whose median was used to visually appreciate a probable decline in price.
Since then, price did cross below the median, and the suggested pattern is gaining added credence - A more recent analysis of the EURUSD was offered within a smaller timeframe, but here too, a smaller timeframe offered a similar bearish outlook.
I will shove this chart back into its dusty shelves, considering the timeframe, but feel free to call my attention to it at an ulterior date if I decide to delay any technical comment on it.