Having some free time, I decided to post very low-level projection (covering only 1 day, next Monday) for Silver market just for the sake to illustrate predictive power of Elliott Waves. Even though it is more for the entertaining purpose (of an Elliott Wave evangelist), it provides an opportunity to ride 2% move.
As explained in my related post “Opportunity to trade 3rd of 3rd by selling $17.75 to 16.36”
Silver is in the corrective wave 2 (yellow marking) of wave 3 (green) of wave C (purple).
Closer look at wave 2:
• Wave 2 usually is deep, in many cases correcting 61.8% of wave 1, therefore I am expecting it to complete at around 17.76, which is also a good resistance level based on previous price action.
• Since it is a deep correction then out of zigzag, flat and triangle options for correction a zigzag may be the most appropriate – this is an obvious simplification, but zigzag is the most regular one therefore I would stick to this option for my expectation of the nearest future market behavior.
• Since the expectation is that wave 2 has a zigzag structure, it must be subdivided into A-B-C (purple marking).
• Wave A should have 3 wave structure – complete already
• Wave B should have 3 wave structure too (a-b-c) – it is underway
• Wace C should have 5 wave structure – will start once B is over, my prediction is at around 17.36. From my experience wave C of zigzag usually equals to 1.272 x of wave A.
Closer look at the current purple wave B:
• First sub-wave A (blue) should have 3 wave structure – complete
• Second sub-wave – B is underway
That means we should expect:
1. Possible very small move up on market open, but eventually zigging a bit down and then zagging up to complete wave B (blue), possibly around 17.6
2. Then it should fall down for wave C (blue) which must have 5 wave structure (assuming zigzag correction). On completion, we will get blue A-B-C structure of purple B complete.
3. After that purple C will start upward, which usually has 1.272x length of wave A. Therefore it would be nice (from the market) to let me buy it at 17.36 and close at 17.75.
Correction (in particular cross session one) must be proportional to an impulse wave it retraces. Vertical line on the chat shows 1x duration of wave 1 from the end wave 1, which could be an indicative point in time when it may complete.
Let’s see what will happen on Monday. Elliott Wave or not, trading is probability game, but I am not aware of any other tool allowing to build such a level of price action prediction. It is fun.
As explained in my related post “Opportunity to trade 3rd of 3rd by selling $17.75 to 16.36”
Silver is in the corrective wave 2 (yellow marking) of wave 3 (green) of wave C (purple).
Closer look at wave 2:
• Wave 2 usually is deep, in many cases correcting 61.8% of wave 1, therefore I am expecting it to complete at around 17.76, which is also a good resistance level based on previous price action.
• Since it is a deep correction then out of zigzag, flat and triangle options for correction a zigzag may be the most appropriate – this is an obvious simplification, but zigzag is the most regular one therefore I would stick to this option for my expectation of the nearest future market behavior.
• Since the expectation is that wave 2 has a zigzag structure, it must be subdivided into A-B-C (purple marking).
• Wave A should have 3 wave structure – complete already
• Wave B should have 3 wave structure too (a-b-c) – it is underway
• Wace C should have 5 wave structure – will start once B is over, my prediction is at around 17.36. From my experience wave C of zigzag usually equals to 1.272 x of wave A.
Closer look at the current purple wave B:
• First sub-wave A (blue) should have 3 wave structure – complete
• Second sub-wave – B is underway
That means we should expect:
1. Possible very small move up on market open, but eventually zigging a bit down and then zagging up to complete wave B (blue), possibly around 17.6
2. Then it should fall down for wave C (blue) which must have 5 wave structure (assuming zigzag correction). On completion, we will get blue A-B-C structure of purple B complete.
3. After that purple C will start upward, which usually has 1.272x length of wave A. Therefore it would be nice (from the market) to let me buy it at 17.36 and close at 17.75.
Correction (in particular cross session one) must be proportional to an impulse wave it retraces. Vertical line on the chat shows 1x duration of wave 1 from the end wave 1, which could be an indicative point in time when it may complete.
Let’s see what will happen on Monday. Elliott Wave or not, trading is probability game, but I am not aware of any other tool allowing to build such a level of price action prediction. It is fun.
