Using Elliott wave analysis in a practical way

[Michael J. Fletcher]

As I posted in the other topic, I highly recommend to those of you who really want to master it I highly recommend to study the book "Elliott Wave Principle: Key to Market Behavior". It's not easy but it totally worth it. This book can really enrich you with the knowledge that you can apply in your day-trading activity. Good luck and happy thanksgiving!

 

[felixbocharov]

Right now trying to apply EWT to BABA in a long-term. Seems like we're on the fifth wave right now what means that there is some money to be made here. My predictions - BABA $85-87 by the end year

 

[Michael J. Fletcher]

Right now trying to apply EWT to BABA in a long-term. Seems like we're on the fifth wave right now what means that there is some money to be made here. My predictions - BABA $85-87 by the end year

yeah, even regular TA tools are showing this. you don't need EWT in this case. Here some new analysis

 

[watchdaride]

Optionetics were pushing Elliot Wave analysis back in the 00's and were endorsing Advanced GET software.

EW patterns are always crystal clear in hind site but it's that hard right edge that yields the 50% accuracy no matter what method you use.

I agree 100% . The only part i use is the ABC retrace to wave 4 then to 5 extention

 

[easymon1]

Where Fundamentals Meet Technicals: BTI, MO, GBTC, TSLA
https://www.elliottwavetrader.net/p...hnicals-BTI-MO-GBTC-TSLA-202012226613877.html

Trading the T-line - cut to the chase ...
Stephen Bigalow
https://elitetrader.com/et/threads/...t-right-here-baby.335635/page-15#post-5162295

 

[maxinger]

Is OP still around?

if not, it means Elliott wave analysis is not practical.

 

[Overnight]

Is OP still around?

if not, it means Elliott wave analysis is not practical.

It's been over seven years. I guess it did not work out. What a surprise!

 

[yank_my doodleitsadandy]

Actually, Elliot Waves are not so complicated. I mean, the basic principle is very easy and even a child can understand it. The other thing, which is far more complicated is to actually trade using EW theory. I've been using it periodically and in most cases it works. But sometimes it does not, but when I'm looking at those cases when it didn't work I blame only myself. I really like it, but also I understand that I need reliable software and deeper knowledge about these subject.

Any recommendations about software/books/webinars?

I've never used this indicator but I'm sure the saying that "indicators should always be used in conjuncion with other indicators" is true about this one also...

 

[P0izzn]

I do not understand why nobody talks about role of volume analysis in Elliot wave theory. Using volume surges (increases in volume) as a confirmation of the beginning or end of a way, not just confirms the theory but also may explain processes behind a wave.

As an example, a strong volume surge during the price decline mean the panic selling. Volume is 2-side transaction and for each transaction we have equal number of buyers and seller. We have price decline because we have bigger number of bearish traders who is willing to sell at lower price. When we have increase in volume it means that new bullish traders are coming to satisfy the needs of sellers. Huge volume surge means big wave of bullish traders (attracted by low price) came and started to buy from those who sell in panic. Here, if the Bulls are strong enough (increase in volume is big enough) we may have shift in supply/demand balance toward the Bulls and the confirmation of the end of a Bearish wave

This opened my brain on VSA, thanx a lot man, you got a similar analysis for bearish reversals? i'm trying to think of it but panic buying, should increase the price further so it doesn't make sense to me, can you help me out here?

 

[stephentobin]

I am a big believer in EW theory and use it as a way to view market sentiment. right now my S&P chart looks very bearish and suggests a pullback is due probably lasting the whole of 2024.