For the Advanced Traders.........
I wanted to take a closer look at a daily Chart of the GBPUSD, as this is a very good example of when to look to the Wave 3 WPT’s for targets rather than the closer Wave C WPT’s.
As outlined in the Trading Course, this is my favourite setup because the ABC (TS3) setups comes as the “first correction” from the “first move” off an “important high or low”. In other words, this is more likely to be a Wave (2) in Elliott Wave terms. And what usually follows a Wave (2) – exactly, a strong Wave (3) type swing. As you can see, this is exactly what we have with the GBP.
As the STF strength band was exceeded as the Typical Wave 3 WPT was reached, the ATRStop can be used to carry on the strong trend.
Currently sitting on +10R Open Profit (ignoring slippage and commission)
Thanks, Steve
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