Analysis and Trading based on Envelopes, Waves, Cycles

very astute remarks - to keep in mind

EURUSD 4H

DAX Daily Sinewaves

Focal Point TP was reached, i'm totally agree with you

Nikkei wave follow up from Post #5. Ive added the Excel file for anyone inclined. I dont know how to build Envelopes or CMA's in Excel yet. These are just observations.

COTTON Daily

Excellent work fomoslav

you are obviously learning by doing.

Your Third Chart allows everybody who can observe the transformation from one chart into another, that the most simplified chart gives us the real structure of the market, eliminating noise.

Let's assume that you want to build a CMA 33.

You need to have at least 33 Data
You calculate (Moyenne(Data1:data33):
You position the result at the Center of the serie you use at Time 17etc

to build your Envelope You Calculate your Octave = Price Range/8 - Range can be High - Low oranother Range

Hence you create 2 other Columns ;

the Upper Boundary = CMA 33+ 1 Octave

you can chart the results

le Lower Boundary = CMA 33 - 1 Octave

Hello, gentlemen and women.

I need help with a matter. I want to know what the Price numbers mean. I know they are values for Open, Close, etc, but I do not know which number stands for what.

I added an example of what I am talking about.

ITA IShares Aerospce & Defense Daily

@parisboy -
What an incredible thread. Together with all the supporting docs this is just fantastic. Not much out there in the wild of this caliber. Thanks for all the thankless time you have put into doing this. You linked murray math and hurst for me with some of your explanations and references. I never understood the connection before. I know at some point you said wave guys are "driving in the fog" .... but it's a hard habit to break
Thanks again.

Also thought this was interesting .. here is a template posted in your thread with 256, 128, 32 lwma envelopes. I took out the displacement as you can see under main peak. Gold ATH is 2075 .. if you round to 2100 and divide by 8 you get 262 for "vibration" Set bands to 256/2096 , 128/1048, 32/524. So purposely a vibration or so too high for the 1M chart. Then look to trade the corners.... Description - lowest part of channel in current section becomes upper resistance. Resistance line runs until hits opposite wall. Breaking that would be a late entry. Ideally you catch a bounce off the lower support of highest part in current section. Once you have a long you look above the start point for the envelope levels directly above it for take profits. Hopefully the picture explains it. I have done this with roots for quite a while now. They tend to be very accurate. On gold it is actually the sqRT(sqRt) of price added to the low for upper bands. And same subtracted from high for lower bands. ex. Current price 1797. sqRT 42.39. sqRt again is 6.51. So look for measured moves of 6.51
Trends will go 2 roots up and then 1 root back, etc.

What is interesting to me is the correlation.

With roots you typically see in a ranging market the bounces between the 1 root levels... Then a trend will go 2 roots common, 2.5 more rare, and 3 roots is a great day as they say.

You can see at the central drop that we dropped 3 roots during the NY session. 15:00 - 22:00 on this chart The 1st root corresponds to the 32/524 price band and the second root lines up with the 128/1048 pretty well. 3rd band no line up and then we dropped to 4th root sometime in london session which was 256/2096 band. Kinda cool if you're into geeky stuff. Anyhow thanks again for all your inputs.



Here is bands back at "normal levels" and extensions cut in 1/2. Good correlation with sqRts

NATURAL GAS Daily

cool. thanks

here's a few templates folks might like for "seeing" the waves or ...cough cough... multiple envelopes

shifted back - you can look to find dominant cycles

when multiple envelopes roll over you get a hard edge structure when there is confluence which is pretty interesting. I think of it as natural support and resistance ...meaning I don't have to guess where it is.

Here you can see the 32, 128, and 256 along that edge. The fld's (in this case everthing is shifted forward) are lwma and the wave is sma but it shows the idea.

focal point highlighted ... not able to see on other "wave" charts

Dax 30

My thought is that this should rollover soon.

That said, we may still go to to the top of the channel which is ~15K

Need momentum to roll over first.

S.

GOLD 1 Hour

Focal Points