Quote:
Originally Posted by Jamie Saettele
The only way to know that a turn has occurred is after the fact. In analyzing, I attempt to identify potential reversal points with fibonacci/former congestion levels. When the market is trading at record levels (like now), I use fibonacci extensions. Still, if looking for a top then there is nothing better than a clear 5 wave decline followed by a clear 3 wave rally to signal that a top is in place. I know that many on this forum like to look at very short term charts such as 1 or 5 minutes. Personally, I find those time frames very unreliable and prefer 60 minutes and sometimes 15 minutes. Of course, we are all guilty of breaking out own rules. Have a good weekend.
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So let's say your are seeing a potential reversal point on a 60 min chart. Do you look for the 5 wave decline / 3 wave rally on the same timeframe or do you go to a 15 min. ?
Thank you so much for all your help. I have learnt so much since i have discovered your message board.
