Thread: Elliott Wave Trading Discussion

Hi Everyone,

This thread is specifically geared towards the discussion of Elliot Wave theory and the FX Market. Please feel free to discuss any experiences or questions that you may have that are related to this trading style.

Happy Trading

Kate

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Welcome to the Elliott Wave section of the forum. If you are interested in Elliott wave analysis, then I highly recommend that you read The Elliott Wave Principle (Frost and Prechter). In this section, we will examine wave counts and potential trading opportunities indicated by wave counts. I present EW trading opportunities on dailyfx + under headlines.

Hi,
I just discovered this section of the forum, and i am really excited to have a place where to discuss elliott wave principles. I am fairly new to it, still in the process of learning.

I have attached a chart of the USD index. I think that the counting on the upwave 1,2,3,4,5 makes sense, but i am having a hard time with the wave count on the correction. Any help would be appreciated.

(sorry the chart looks a little big)

Thanks.
Serge

Originally Posted by serhito

Hi,
I just discovered this section of the forum, and i am really excited to have a place where to discuss elliott wave principles. I am fairly new to it, still in the process of learning.

I have attached a chart of the USD index. I think that the counting on the upwave 1,2,3,4,5 makes sense, but i am having a hard time with the wave count on the correction. Any help would be appreciated.

(sorry the chart looks a little big)

Thanks.
Serge

Serge, you are correct that the rally from the late 2004 bottom is a 5 wave impulse. The decline that has followed looks like a double zigzag (two zigzags connected by an X wave). The entire decline is labeled W-X-Y.

Jamie,

Thank you so much.

Could you explain the A and B you have on there ?
Does it mean that :
1) we are in a big correction (5-3-5) which has the first 12345 sequence as the first leg A ?
2) the second leg B (3 waves) is the double zigzag ?
3) we are now looking for a 5 wave sequence to the upside (C) ?

What would be the target for that last leg (C) ? How do you establish that ?
What would invalidate that scenario ?

but most important... what were the clues that you saw to come up with this scenario ? it sounds like a good one, but i would have never seen it.

Thank you so much for your input.

Serge

Here is a trade setup on AUDNZD pair...

It looks to be headed lower..

Not all is lost for Aussie....

It looks like making a double zigzag

Setting up for a brief rally...

Shaping up from a sharp move down ...

Setting up for upmove...

Originally Posted by serhito

Jamie,

Thank you so much.

Could you explain the A and B you have on there ?
Does it mean that :
1) we are in a big correction (5-3-5) which has the first 12345 sequence as the first leg A ?
2) the second leg B (3 waves) is the double zigzag ?
3) we are now looking for a 5 wave sequence to the upside (C) ?

What would be the target for that last leg (C) ? How do you establish that ?
What would invalidate that scenario ?

but most important... what were the clues that you saw to come up with this scenario ? it sounds like a good one, but i would have never seen it.

Thank you so much for your input.

Serge

The A and B are the first two waves of a large correction that began in December 2004. We are looking for the C wave to unfold in 5 waves now. This is one count that fits all of the rules of Elliott. Most importantly, the USD rally in 2005 is impulsive and the decline since has been corrective (overlapping).

Originally Posted by Jamie Saettele

The A and B are the first two waves of a large correction that began in December 2004. We are looking for the C wave to unfold in 5 waves now. This is one count that fits all of the rules of Elliott. Most importantly, the USD rally in 2005 is impulsive and the decline since has been corrective (overlapping).

Hi Jamie,

Do you see any other potential scenarios ?
What would invalidate this theory ? I am just trying to learn what i should be looking for to know when i am wrong, when making my own decision in the future.

Thanks a lot.

Serge

I was a the expo on saturday. I took the advanced fibonnacci but i regret i did not come for your presentation. I was affraid it was going to be too basic since it said it was for beginner. Maybe i should have. Sorry. Any chance to get your slide presentation, if you had one ? Thanks.

When you look at these carry trade pairing charts such as EURJPY, EURCHF, etc.., can you find any fibonnacci there ? It looks like it's never going to stop.