Friday, 22 January 2010
Isolation approach to Elliott Wave
Hi Everybody,
Yesterday was a perfect example of why I invented my unique “isolation approach” to Elliott wave analysis, where we use Elliott Wave patterns “just” for the trade entry and then “do not” try and “forecast” where the market will go next. This is the biggest mistake an traders can do, and is actually not necessary for trading profits, as we will see in this example
Here the 15min NQ was at a Wave (3) high, so normally Elliott wave analysis would expect a Wave (4) type decline. But the point is that a decline was anticipated, so we could look for sells on the 3min Charts.....
OK, onto the 3min Chart , Steve
Yesterday was a perfect example of why I invented my unique “isolation approach” to Elliott wave analysis, where we use Elliott Wave patterns “just” for the trade entry and then “do not” try and “forecast” where the market will go next. This is the biggest mistake an traders can do, and is actually not necessary for trading profits, as we will see in this example
Here the 15min NQ was at a Wave (3) high, so normally Elliott wave analysis would expect a Wave (4) type decline. But the point is that a decline was anticipated, so we could look for sells on the 3min Charts.....
OK, onto the 3min Chart , Steve