Wolfe

[mkp14]

Hi all
After reading this post i learned and try to itendetify WW Pattern and here is compx chart 20min. Just learning purpose only. Let me know please my thinking is right or wrong.
Thx
mkp14

[bubba]

	Quote:	waveslider
	dominant wave is just the largest wave in action in the pattern. Trying to pick tops and bottoms is a tough disease, I get infected too - - its got to be a psychological thing about wanting to prove how smart you are. Entry points? Personally I think just about anything will work, but the risk management has to be tight, that's the most important thing. The one you pointed out just played out this a.m., bubba. Nailed it to the cent. I think that channel was additional pressure as I mentioned. Also interesting that both points 2 and 5 happened within the range, at the extremes. Probably reinforced the pattern. I haven't looked at the volume of it, but maybe there's something there too..

thanks ws.. good points.
here's a screen i found when i got home this evening. an oddity, at least in my experience. 2 gartleys - but 1 at the finish of the larger - and both appear to be completing at the same time. just thought it was interesting. and, to make it on topic - many (most?) times a gartley will have a ww as well.

[bubba]

mkp - that looks like a nice ww to me.

the horizontal line from point 5 and also the entry ... interesting. i haven't seen that before

[david111]

Sorry to blow the bubble guys but WWaves is worthless just as Elliott waves.
I coded every parameter and expert advisors to automate this strategy over years of data and it fails miserably.
The market is ALIVE you cannot impose "waves" and counts, IT DOES NOT WORK consistantly.
But it "looks" great after the fact...

[OAC]

	Quote:	david111
	Sorry to blow the bubble guys but WWaves is worthless just as Elliott waves. I coded every parameter and expert advisors to automate this strategy over years of data and it fails miserably. The market is ALIVE you cannot impose "waves" and counts, IT DOES NOT WORK consistantly. But it "looks" great after the fact...

Actually I would be really surprised if you can get good results with back-testing of any of the patterns, which does not mean they can't be used as good tools by a discretionary trader. A lot has to do with the CONTEXT in which they are being used.

[waveslider]

DAvid,
from a strictly technical point, you are probably right. Everyone already used pivot points to find fib. entrances, gartley, triangles, etc. etc. The search for the holy grail goes on, eh?
Meanwhile as we know, chart reading is an art, not a science. It's in the eye of the beholder. Is ww the one pattern to trade? no, I don't think so. I don't trade it, but I trade maybe 5% discretionary..
The idea here David is that there is geometry in the markets based on psychology. WW is just one pattern, and like triangles/wedges/head and shoulders, if it is coded with the proper money management it might be mildly profitable.
If you are able to "see" what is going on under the pattern and trade it discretionarily, then you could kill with patterns like this. As OAC said, it's all about the context, and unfortunately our computers can't see patterns the same way a human does.
I can't say I have the time to search out these patterns, and I don't like to trade what I can't quantify. So for me WW is just fun to watch.
You'd be amazed how many do work!

[mkp14]

Hi all
Lets Put WW on Test
Symbol = IAU
Entry at Monday open or Which ever suit
Stop at gap fiiled and target is EPA
mkp14

[waveslider]

Looks like a good one mkp. It'll take a while to play out, but should be a good study. WWs are usually best within a range, and there could be a case for callling this trend, still that's a good target..

[bertg]

OK, waveslider, I just finished this thread. Thanks again for starting it. I really enjoyed it and will be looking for WWs and hopefully finding some.

I don't know if this is possible, but maybe you can write down the basics (or even do a video) and you as the thread starter may be able to edit your first post to where I and others can always go to to refresh our memory on the main things to look for in a WW. If you can't edit the first post, a mod should be able to.

For example, these are things I picked up from this thread:
- the 1-3-5 and 2-4 are ideally horizontal or close to.
- in a bullish WW, point 3 is ideally lower than point 1, (which sort of negates the above - lol) and vice-versa.
- point 5 ideally breaks through the 1-3 line.
- point one is part of a range.
- symmetry
- point 4 should revisit the range of 1-2 (this I picked up from here)
- there is another point I can't remember exactly. Point 2 needs to be a (relatively) new hi/low. ??

Also, volume-related (copy and paste from Duzzntmttr, which you seemed to agree with) things to look for:
1. Point 1 should be the lowest volume of all points.
2. point 2 will have the highest volume.
3. Point 3 's volume will be higher than 1 but less than 2
4.
5. Point 5 's volume will also be higher than average.

Also a few charts of "picture-perfect" WWs would be nice in the first post.

Ok, now some questions of mine:
1. I am having a hard time figuring out where to place point 1. How far to the left do I need to llok to see if we are in a range?

2. You said earlier: "It really only works in a consolidation phase of the market. I believe point one is supposed to be the first pivot in the range, then point 2 is an attempt at a new high/low, which would fail (confirming range), then point 3 is a low below point 1 which also fails..."
So point 1 should be the beginning of the range? Am I also understanding correctly that most of the time the pattern will go in the direction of the trend (trend which was in place before the range started)?

3. You said : "5 and 2 are where to watch for big volume.
"
Does that mean we want big volume at 2 and 5?

Thank you very much,
Bert

[waveslider]

	Quote:	bertg
	Ok, now some questions of mine: 1. I am having a hard time figuring out where to place point 1. How far to the left do I need to llok to see if we are in a range? 2. You said earlier: "It really only works in a consolidation phase of the market. I believe point one is supposed to be the first pivot in the range, then point 2 is an attempt at a new high/low, which would fail (confirming range), then point 3 is a low below point 1 which also fails..." So point 1 should be the beginning of the range? Am I also understanding correctly that most of the time the pattern will go in the direction of the trend (trend which was in place before the range started)? 3. You said : "5 and 2 are where to watch for big volume. " Does that mean we want big volume at 2 and 5? Thank you very much, Bert

Hi Bert,

1. point 1 is harder to locate, look first for point #2. It should be dramatic, sharp, with volume. There should be traders getting shook out.

2. point 1 is within the range, usually around the 50% level. Not necessarily the beginning of the range, but at a point where volatility begins to expand.
Yes the trend on the higher time frame dominates (if there is one)

3. You are correct.

There are some web sites out there that detail this stuff, some are more accurate than others. You will only start getting this from seeing them real time and making note.

You really juiced this thread - as you noticed, there was no structure, it just kind of rambles forward. I am not an instructor, nor do I have time or energy to put together what you are asking..sorry! But I am glad you have learned a bit. There is a bit of work to learning market geometry, but it is valuable knowledge..