Elliott Wave Counting with EG

this morning when I wrote about price finding multiple support below it in the 1min, 5min and 15min..... I actually hedged my trades then.

it had reached a possible total 15% increase in profit But I did not close it till I saw higher probability of it going down.

I ended up getting just an additional 4% with a higher probability that price will come down.

1min needs to develop another wave down to show divergence as end of that wave structure of higher degree.

5min is bounceing off an edge of support

15min has some more room to go down.

Watching that bearish engulfing candle on the 1hr which is developing still plus the pin bar preceding it.

EG

Although the 2 trrades this morning were in heavy drawdown, now we are back to a very little drawdown.

despite that, a little profit was taken on the hedge position earlier.

Hedging though is not recommended for those just starting to learn to trade as it will put you in an undecisive position which often leads many to commiting the error of losing all positions.

My EWA helps me to hedge my position so I use it. Those who do not understand EWA will not be able to take advantage of its info.

EG

1min may have already just finished a motive wave after it exhibited a divergence now.

monitoring this as I see 15min as needing to retrace up at this pint.

5min may have just finished a wave 3 with this divergence on the 1min and will need to retrace up.

now we can see how that pinbar and that bearish engulfing candle on the 1hr has showed us a very quick opportunity.

now holding 1 long which I made as my short trades were recovering

the 2 short trades from last night are still on.

EG

Status : net 125% with a current drawdown of 6%

It is a pity that it took you 3 years to realize that EWA does not work for your skills.

But it does not mean that if you did not make money using EWA... that the whole EWA does not really work.

Because it works for some. It is just that EWA is not for everyone.

nice pips on the Long trade using the 1min, 5min and 15min charts.

I hope you learned something from that lesson. TP for that long trade earlier was +1 and got captured. while I was able to add 1 more long from near the previous bottom as I was expecting a retracement. total of 1.8% additional to my capital.

letting the short trades run until they hit my TP below. unless I am around to see possible reversal.

EG

1min EWAn would show that c is more than a(1.618) is this is likely a 3 so expect a possible higher high unless it is truncated.

need to use other tools and watch higher timeframes.

price has retraced as possible wave 4 towards the wave 4 of a wave 3 of sasme degree.

unless we see an overlap with a or 1 then I would be watching this as a possible motive wave of a corrective wave.

now there is an overlap so I would have to consider this as a complex A followed by a zigzag wave B then a possible wave C to the topside.

otherwise, I will have to look for an exit position.

now have 2 long trades a=nd the 2 short trades.

for a total drawdown of 6%.

EG

out from the long trades now with just 1.6% total again taking my que from the 1min chart

waiting for another opportunity to get in for a long trade if it presents itself.

that is if price retraces down to lower than previous low on the 1min .

But of course taking some signals and validation from other indicators.

Notice that I do not go for large profits. peaks and bottoms of your oscillators can be tricky even on the 1min chart if you are observing multiple timeframe. So I prefer to take even small profits. I do not mind if my broker earns in the spread. what is important is that I reduce chances of losses and of course I should also be in profit when ever possible.

not in a hurry to trade. I may just sit it out and wait for my short trades to get into profit.

EG

Breakout from a potential flag pattern on the 15min chart for a full wave.

1min, 5min and 15min oscillators will likely be crawling the bottom windows which likely would represent a long wave down.

15min oscillator has been oversold for quite sometime already and in EWA scenario, this could mean an extended wave development in the lower time frame.

Multiple levels of support below will form TP levels for my remaining 2 short trades.

TP levels I have set are 1.5700 and 1.5600 just uncase internet connection gets cut off.

but the 1.5600 is just above the WeeklyS2 Support level.


EG

another lesson reiterating the need to take profit even @ 2%

of capital

this surge in price could either be a "C" or a 3.

attached is a potential count on the 1hr chart.

leaving my trades running for now and willbe looking for a possible long incase oscillators indicate oversold levels.

But still depends if it breaches C and 3 differentiation guideline.

EG

Panic will be your worst enemy here. get out unless you have a basis to stay on the trade. do not rely on other people's analysis as you will only have yopurself to blame if the trade goes against you.

still looking for a chance to exit the trades if I need to.

in the meantime, when resources allow, 'll just take what the market offers when I am online.

Fib probabilities on the chart.

EG

Cable W1 down on the 15min may be finished now and trying to make a retrace for W2.

There is a resistance area above price on the 15min and 30min now.....
But it has already broken out of the trendline resistance above it on the 15min.
MACD on the 15min seems to need a retrace to the upside but stochs and momentum are over bought.

1hr is still above its area or support though 4hour has its area or resistance above it.... but may go up for just a retrace and not surpass last high to maintain trend on the 4hr chart.

Note that we have a very bearish engulfing candle on the 4hr chart.

3 short trades from yesterday (heavy drawdown) and adding 2 longs from here. overall bias is still down.

EG

in the 30min chart below is a possible big motive 5 wave structure in Magenta.

the whole move down may have a retracement of 38.2, 50, and 61.8.
so far, it has touched the 50% level.

going to the 4hr chart, we can see that we have the C = A for now but could still go for the C = A (1.618)

with the resistance areas and levels using other tools, bias for the higher time frame is still down. So a likely C more than A.

on the 15min chart, that break of the Resistance trend line could still bring price higher to form a C = A which coincides with a 61.8% retracement of this down move from yesterday.

EG

added another long to equalize long and short positions for a total of 448 pip drawdown.

Long
1.5982
1.6007
1.6009

Short
1.5869
1.5848
1.5848

either way, I will be able to unhedge it at an opportune time to either profit or to reduce my losses on this one.

I do not recommend hedging even if your broker allows you this if you are just starting to trade.

EG

5min Chart

Possibility of being an expanded flat puts wave B limit at 138.2% projection.
That is if it exceeds 100% of A.

other option is if it is a flat, then it can go up and go for the 100% and the 161.8% Fib Projection.

15min charts are showing over sold levels on some indicator with divergence on the 15min and 30min now.

EG

Let us see if this Daily Stochastics continues to climb higher.

Wave structure on the 1min chart now

This is were EWA is tricky. It provides multiple possible wave counts and more for those who do not understand it fully.

But it you use other tools to assist you in your wave counts, then the number of options are reduced. But it is also essential that you be the one to really learn and see how these other tools react in relation to your wave count..

If I trade using EWA, I must admit I cannot profitably do it with so many potential wave counts in multiple time frames.

Yes I view multiple time frames to check on probabilities. But I am not a swing trader. You can call me a scalper when there is opportunity.

EG

Let us look at trendlines. This is important to me on multiple time frames.

Combine that with price bar angle formation. look into multiple time frames and bear in mind that Elliott waves of the smaller time frames make up the Elliott waves of the bigger time frame. it may look like a huge task to visualize the waves in multip0le time frames specially if you are just starting. But in time you will find it easier with a lot of practice.

If you do not keep applying it in the charts, It will be very difficult to incorporate it in your analysis. Better to stay away from it and save yourself the trouble.

watching if the channel will hold despite the breach.

5min

please help me install set_fibo_price_any_v2

http://www.forexfactory.com/showthread.php?t=54134
http://cdn.forexfactory.com/images/misc/progress.gif http://cdn.forexfactory.com/images/buttons/edit.gif

5min Update

Just add or drag it to your chart. then switch time frames and go back to the time frame you want and the fib levels with price will be installed.

Try looking into the options of the indicator as you attach it.

EG