Analysis and Trading based on Envelopes, Waves, Cycles

a study of your vocabulary shows what are your center(s) of interest.
Same for Hurst in his Cyclitec Course.:

Wawes 5.016 occurences.
Composite Wave 174 occurences .
Dominant Wave 134 occurences, component
Wave 87 occurences

It is an analysis tool : Cyclitec course: the 5 ranking Words :

Waves 5016 occurences.
Cycle 816 occurences
FLD 923 occurences
Phasing 827
Periodogram 416.
That what the Course is about FLD and Phasing

If you practice the same analysis on what I write :
Periodogram, Wavelets, Frequencies, Numerical Analysis have a low ranking Envelopes and Focal Points a high one.

Hurst defines his work asT**The Wave Theory of Price Action**. Hurst adds that Cycle Analysis is just a tool within this theory.

I do not care about the Nominal Model which is an Averages Model at Time T.

Hurst in his course uses 5000 times the word Wave and 800 times the word Cycle. what people calls a cycle Hurst calls it a Wave.

Hurst defines a Cycle as the repetition of a Wave.

No repetition. No Cycle

Note that in the Course Hurst writes operatively most of the time of a 80Day or 18 Month Price Wave not Cycle - this should draw your attention because his use of the word Cycle is much more focused on the words Nominal Cyclic or Cycle Model, Current Cycle Model etc

About the Nominal Model

This was confirmed by a study I made years ago using Sentient Trader cyclic values for something like 175 big corporations (30 DOW, 30 CAC 40,30 DAX and others ) .

If you AVERAGE the various cycles value given by ST for EACH individual company , this average is say relatively close from the " Hurst Nominal Model " used by ST .

But the individual values are scattered all over the spectra with sometimes deviation from the Nominal Model up to 35%/

The Nominal Model in itself is practically useless, it is just a starting point for comparison between a fixed reference and the reality (the Current Cyclic Model).

Every corporation has its cycle identity. or ADN . Commonality leads to "groups"

in itself Hurst nomenclature is IMHO uneffective and dated . 1970 (the book) or 1975 (the course)

But is was used to simplify the explanations to the poor readers .

See what Hurst writes in the course about the Simplified Nominal Model where he justifies the gap between the 5 to 80 Days count and the Weeks , Months Numerotation for mnemonic reasons to help the reader to memorize the model

A Composite Wave is made of several Component Waves - it is what Hurst writes in the Cyclitec course.

From the identified Component waves some are Dominant and among the Dominant Waves identified visually (see the course) some are more dominant.

All that is clearly explained in the course

Your wave analysis was really good. I have one question that you added little description about High point of wave and low point of wave. I understand about focal points. Do you write down that description manually on left side of chart? or you use some tools which calculate it by itself?

Thanks for your help.

This Wave was very Simple to identify. Tops and Lows are on the Boundaries of the kaki Envelope (6year / 1536 Trading Days) or very close of them.

BTCUSD 1 mn

Opened Long Position

BTCUSD 1 mn

Closed Long Position + 14

the first question to answer is : "has Gann to be " *decoded *"?"

Question : Who has really "decoded" Gann ?

Gann wrote "Time is the most important factor" .

And this is repeated ad nauseam by Gann followers .

And that is what Cycle Analysts tell us subliminaly because they focus on the Timing (nest of Lows) and the Cycle Period(s).

Unfortunately for them it is not true.

You do not cash in on Time.

You buy , you sell and you put the difference in your bank account.

I never saw any body posting persistently on a public forum trade charts with MotiveWave or Optuma for example.

I have several thousands of dollars of softwares in my cellar full of dust !

I do not buy programs anymore .

I stick to my pencil's) and my rubber

There is nothing as " Hurst Cycles"

Cycle Analysis is NOT the specificity of Hurst BUT HIS TRADING TOOLS :

Envelopes,
FLD,
VTL,
Centered Moving Averages crossings

and its subsidiary related concepts :

Underlying Trend,
Action Signal;
Edge Band and Mid Band Trading

Cycle Analysis is useful but not mandatory to trade.

That is the point where Jim Hurst comes under the light.

The guys from the FSC were just "researchers" "cycles intellectuals" they were not really interested in such a trivial thing as making real money on the real market.

Hence the idea that "nest of lows" "exact cycle lengths" is major and enough to be successful in the market. if you are an investor. That is your money.

it is for this reason that "most of" (all) cycle analyst analyzes at least first and mainly. Analysis costs nothing - may be your newsletter subscription. The trick for the publisher is to multiply the analysis parameters - stocks, indexes, ETF, commodities and the timeframes. This way you can always show some good , even excellent analysis. For the bad ones that is life !

note that they most often design themselves as Cycle Analysts, not Cycle Traders

Basic Musical Waveforms

Foreword : * I despise all guys who have signed a NDA or think that explaining in details to others their methodologies even learned by themselves after thousands of hours of hard work and millions dollars of cost would be spoon feeding the others.

Do not ask questions.

I will not answer you and ban you from my thread on FF if you put a foot there.*

Obviously most people have no idea of the richness of a basic Gann or Murrey analysis or a Gann / Murrey analysis with basic tools.

Just because they have superficially read books or articles.

And most of all, because they have never put it persistently in practice.

The ONLY systematic technical and analysis paper ever produced by Gann is his paper about Angles.

Gann has written somewhere several time that we had to use 3 types of Lines.

Vertical , Diagonal, and Horizontal.

Fact is we now only one paper from Gann about the use of Diagonal Lines - the famous Angles.

Nothing public from Gann about the use of the Vertical Lines (Time) or Horizontal Lines (to measure Price).

The Horizontal Lines were hijacked by T.H. Murrey who popularized them.

Anyway as I assume that you have some degree of intelligence and of interest because you are on this thread, my best advice is

a) to read attentively the Gann paper about the Angles / Diagonal Lines and to practice the analysis on your beloved Stock, Index, ET, Commodity , Crypto etc AND on ALL Timeframes.

b) You just replace in the Gann paper the word Angle (Diagonal Lines ) by Support and Resistance Lines.

And it works ! It is the same mechanism which is used.

As you can see on this long tem chart the Gann Angle System used alone does not give you exceptional results in term of Analysis (about Speed and Acceleration) and none in term of Trading or iinvestment.

Let's say it is a contextual tool.