I often find myself going back to Elliot Wave Counting when I embark on analysing Cable Position. I basically trade the Cable so I will focus on this pair for analysis using Elliot Wave Theory.
I do not pretend that I know a lot. But I will attempt to post my EW analysis at least 3 times a week. There used to be a broker with a comprehensive EW Analysis from which I used to refer to. Now that they have stopped this section, I find myself forced to do it on my own.
You are free to point out details which may be discrepant in terms of the original rules. One thing I have learned to accept when using EW, it is never always definite. It only provides a potential direction. And it is very important that it is done often to be able to adjust counts if halfway thru the count we discover that it has broken some rules forcing us to adjust the counting.
I will be posting charts with some details on them. I start of with the weekly chart. You will notice that I employ my own sub numbering or labelling to help me identify from where the wave count is based. This is evident on the smaller time frame of 1H.
I try to determine the wave counts on lower time frames when ever possible.
EG
Basics of Elliott Wave Principles
Corrective Wave Patterns_Summarized Form Part 1
Based on Figures gathered from Elliott Wave International reference material.
Attached is a summarized form of corrective wave patterns. There are still some variations specially on the complex side. But I will try to gather some more so I can post them here.
The summary below can be sued as a reference in my assessment of the EURUSD potential direction.
As you can see in my Daily and 4hour charts even from Last Friday yet before that plunge, Price assessment was considered to be in the downward direction and there were 4 suggested potential patterns.
Basically, we had a 3wave structure for the 1st leg A from 1.4966 down to 1.4309. So if you look @ the possible options for a cortrective wave , we cannot have the basic zigzag because the wave A leg should be in 5 waves and this is only 3 waves.
So the next option is the Flat or the triangle. But technically we can not have the flat because wave 2 was already a flat .
Then that leaves us with the triangle option which as you will see would fit into the the pattern that has 3 waves for the wave "a" then now we see 3 waves up for the wave "b". As for the succeeding waves which should all be in 3 wave structures also, we will have to see 3 more ( waves c d and e ) then a breakout from the triangle.
In my Daily and 4hour chart , first you will see the Running Flat. I expected that first just incase price forms a 3 wave structure down from 1.4921 down to somewhere around 1.4561 which was the FE 200.00 from 1.4921 then bounce to go higher than 1.4921. That would have been a running FLAT.
However, Price has continued to form and finish 5 waves down to 1.4589 then retraced and expanded sideways which could now form wave C down after it finished the waves A and B.
Which is why I am nect looking at price bouncing off either of those 2 magenta trendlines which were constructed using Low points on the left side of the chart. FE 300.00 @ 1.4413 falls near the level of 1 of the magenta trendlines for the triangle.
If high of 1.4714 is considered as the end of an X wave and if I see 5 waves are formed going down towards FE 300.0 @ 1.4413 and bouncing off that magenta trendline, then next to look for are 2 more legs which 1st would bounce up to the upper side of the visualized triangle then another bounce backdown to the lower nagenta line to complete what is possibly the 5 legs of the triangle.
I would trade a breakout at the top side of the triangle for my Long trade.
However, if price from 1.4714 continues to go down and breaksout to the downside of 1.4413 , it is more likely that a triangle is off the table and a more complex corrective wave may be forming or even a bigger zigzag wave which could see price going towards 1.4267 or even lower towards 1.3862 or even 1.3208 based on the FIB Projection using the relationship of wave C to wave A.
EG
A Flat will most likely not be seen because of the Rule of Alternation
Attached Thumbnailshttp://www.forexfactory.com/attachme...1&d=1200893086
I do not pretend that I know a lot. But I will attempt to post my EW analysis at least 3 times a week. There used to be a broker with a comprehensive EW Analysis from which I used to refer to. Now that they have stopped this section, I find myself forced to do it on my own.
You are free to point out details which may be discrepant in terms of the original rules. One thing I have learned to accept when using EW, it is never always definite. It only provides a potential direction. And it is very important that it is done often to be able to adjust counts if halfway thru the count we discover that it has broken some rules forcing us to adjust the counting.
I will be posting charts with some details on them. I start of with the weekly chart. You will notice that I employ my own sub numbering or labelling to help me identify from where the wave count is based. This is evident on the smaller time frame of 1H.
I try to determine the wave counts on lower time frames when ever possible.
EG
Basics of Elliott Wave Principles
Corrective Wave Patterns_Summarized Form Part 1
Based on Figures gathered from Elliott Wave International reference material.
Attached is a summarized form of corrective wave patterns. There are still some variations specially on the complex side. But I will try to gather some more so I can post them here.
The summary below can be sued as a reference in my assessment of the EURUSD potential direction.
As you can see in my Daily and 4hour charts even from Last Friday yet before that plunge, Price assessment was considered to be in the downward direction and there were 4 suggested potential patterns.
Basically, we had a 3wave structure for the 1st leg A from 1.4966 down to 1.4309. So if you look @ the possible options for a cortrective wave , we cannot have the basic zigzag because the wave A leg should be in 5 waves and this is only 3 waves.
So the next option is the Flat or the triangle. But technically we can not have the flat because wave 2 was already a flat .
Then that leaves us with the triangle option which as you will see would fit into the the pattern that has 3 waves for the wave "a" then now we see 3 waves up for the wave "b". As for the succeeding waves which should all be in 3 wave structures also, we will have to see 3 more ( waves c d and e ) then a breakout from the triangle.
In my Daily and 4hour chart , first you will see the Running Flat. I expected that first just incase price forms a 3 wave structure down from 1.4921 down to somewhere around 1.4561 which was the FE 200.00 from 1.4921 then bounce to go higher than 1.4921. That would have been a running FLAT.
However, Price has continued to form and finish 5 waves down to 1.4589 then retraced and expanded sideways which could now form wave C down after it finished the waves A and B.
Which is why I am nect looking at price bouncing off either of those 2 magenta trendlines which were constructed using Low points on the left side of the chart. FE 300.00 @ 1.4413 falls near the level of 1 of the magenta trendlines for the triangle.
If high of 1.4714 is considered as the end of an X wave and if I see 5 waves are formed going down towards FE 300.0 @ 1.4413 and bouncing off that magenta trendline, then next to look for are 2 more legs which 1st would bounce up to the upper side of the visualized triangle then another bounce backdown to the lower nagenta line to complete what is possibly the 5 legs of the triangle.
I would trade a breakout at the top side of the triangle for my Long trade.
However, if price from 1.4714 continues to go down and breaksout to the downside of 1.4413 , it is more likely that a triangle is off the table and a more complex corrective wave may be forming or even a bigger zigzag wave which could see price going towards 1.4267 or even lower towards 1.3862 or even 1.3208 based on the FIB Projection using the relationship of wave C to wave A.
EG
A Flat will most likely not be seen because of the Rule of Alternation
Attached Thumbnailshttp://www.forexfactory.com/attachme...1&d=1200893086
I grumbled I had no shoes until I met a man who had no toes...
