FOREX – GBPUSD Daily Chart

Hi Everybody

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

FTSE 3min TS1 sell – follow up

Hi Everybody,

Here is how this TS1 short trade ended up – a very nice +7R Profit (ignoring slippage and commission).

What was interesting for me, was how the low came in at our Typical Wave 3 WPT, which is what we would normally anticipate as a TS1 sell is usually a Wave (2) correction, so seeing a Wave (3) unfold after this is normal.

So even though we used the ATRStop, the end result (in Profit terms) was about the same as just using the Typical Wave 3 WPT target

Thanks

Steve