As I have been working to move from a short term trader into a more longer term approach I have been looking at Elliot Wave information. While doing this I found an Approach by Thomas Demark that basically outlined what the EW is but put it in concrete terms. It's a lot of counting, especially for a lot of pairs, and I was wondering if someone could code it? I can't find any indicator for EW.
Here is what I have on how he has the major banks, brokers and the like doing it right now.
Requirements for Wave 1
1.The origin of the TD D Wave up Sequence is defined once the market records 21 bar low close. The close is less than all twenty prior closes
2.One condition one is satisfied, the market must post a thirteen bar high close. A close that is higher than all twelve prior closes. This confirms the origin of the wave sequence and establishes that the market is in Wave 1
Requirements for Wave 2
1.The first requirement for wave 2 is the last requirement of Wave 1, that is, that the market record an eight bar low close. A close less than all seven prior closes AND THEN
2.Wave 2 continues until the market records a twenty one bar high close. A close that is higher than all twenty previous closes, reinforcing the notion that wave 3 is underway.
Requirements for Wave 3
1.The first requirement for wave 3 is the last requirement of wave 2. And then
2.The remains the case until we see a 13 bar low close
Requirements for Wave 4
1.The first requirement of Wave 4 is the last requirement of wave 3
2.Wave 4 is considered complete when the market subsequently posts a 34 bar high close, representing the onset of wave 5
Requirements of wave 5
1.The first requirement of wave 5 is the last requirement of wave 4
2.Wave 5 is considered complete when the market subsequently posts a 13 b ar low close for wave A
Requirements for Wave A
1.The first requirement for wave A is the last of wave 5
2.Wave A is considered complete when the market subsequently posts an 8 bar high close for wave B
Requirements for Wave B
1.First requirement for wave b is the last of wave A
2.Wave B is considered complete when the market subsequently posts a 21 bar low close
Requirements for Wave C
1.The first requirement for Wave C is the last of Wave B
2.Wave C is locked when the market closes below the low close of TD Wave A
Additional qualifying Rules
•Peak of Wave 3 must be higher than the peak close of wave 1, and wave 5 must be above the peak close of wave 3
•If a pullback from wave 1 is so shallow that the decline fails to satisfy the condition necessary to initiate wave 2 and the market subsequently recovers above what had been wave 1 high close, then wave 1 will shift over the right in line with the new high close.
•If the pull back from wave 3 is so shallow that the decline fails to satisfy the conditions necessary to initiate wave 4 and the market subsequently recovers above what had been the wave 3 high close, then wave 3 will shift to the right in line with the new high
•Wave 5 will only be locked in after wave C violates the low of wave A on a closing basis. Until that happens, if what had been wave B closes above the high of wave 5, then wave A And B will be erased and wave 5 will shift to the right
•If wave 2 closes below the low of wave 1, then wave 1 will disappear and the count will begin anew.
•If the low close of wave 4 closes below the low close of wave 2, then wave 2 will shift to where wave 4 otherwise have been
•Once Wave C violates the low close of wave A, wave 5 is locked into place and cannot move. Consequently, if the market subsequently closes back above the high close of wave 5, rather than erasing waves a, b, & c, and move wave 5 to the right, the indicator will instead label the move to new highs as a fresh wave 1 advance rather than erasing the previous wave 5
Everything is opposite for a Downtrend
Any takers?
Here is what I have on how he has the major banks, brokers and the like doing it right now.
Requirements for Wave 1
1.The origin of the TD D Wave up Sequence is defined once the market records 21 bar low close. The close is less than all twenty prior closes
2.One condition one is satisfied, the market must post a thirteen bar high close. A close that is higher than all twelve prior closes. This confirms the origin of the wave sequence and establishes that the market is in Wave 1
Requirements for Wave 2
1.The first requirement for wave 2 is the last requirement of Wave 1, that is, that the market record an eight bar low close. A close less than all seven prior closes AND THEN
2.Wave 2 continues until the market records a twenty one bar high close. A close that is higher than all twenty previous closes, reinforcing the notion that wave 3 is underway.
Requirements for Wave 3
1.The first requirement for wave 3 is the last requirement of wave 2. And then
2.The remains the case until we see a 13 bar low close
Requirements for Wave 4
1.The first requirement of Wave 4 is the last requirement of wave 3
2.Wave 4 is considered complete when the market subsequently posts a 34 bar high close, representing the onset of wave 5
Requirements of wave 5
1.The first requirement of wave 5 is the last requirement of wave 4
2.Wave 5 is considered complete when the market subsequently posts a 13 b ar low close for wave A
Requirements for Wave A
1.The first requirement for wave A is the last of wave 5
2.Wave A is considered complete when the market subsequently posts an 8 bar high close for wave B
Requirements for Wave B
1.First requirement for wave b is the last of wave A
2.Wave B is considered complete when the market subsequently posts a 21 bar low close
Requirements for Wave C
1.The first requirement for Wave C is the last of Wave B
2.Wave C is locked when the market closes below the low close of TD Wave A
Additional qualifying Rules
•Peak of Wave 3 must be higher than the peak close of wave 1, and wave 5 must be above the peak close of wave 3
•If a pullback from wave 1 is so shallow that the decline fails to satisfy the condition necessary to initiate wave 2 and the market subsequently recovers above what had been wave 1 high close, then wave 1 will shift over the right in line with the new high close.
•If the pull back from wave 3 is so shallow that the decline fails to satisfy the conditions necessary to initiate wave 4 and the market subsequently recovers above what had been the wave 3 high close, then wave 3 will shift to the right in line with the new high
•Wave 5 will only be locked in after wave C violates the low of wave A on a closing basis. Until that happens, if what had been wave B closes above the high of wave 5, then wave A And B will be erased and wave 5 will shift to the right
•If wave 2 closes below the low of wave 1, then wave 1 will disappear and the count will begin anew.
•If the low close of wave 4 closes below the low close of wave 2, then wave 2 will shift to where wave 4 otherwise have been
•Once Wave C violates the low close of wave A, wave 5 is locked into place and cannot move. Consequently, if the market subsequently closes back above the high close of wave 5, rather than erasing waves a, b, & c, and move wave 5 to the right, the indicator will instead label the move to new highs as a fresh wave 1 advance rather than erasing the previous wave 5
Everything is opposite for a Downtrend
Any takers?
A woman drove me to drink, and I forgot to thank her 