Elliott Wave Forecast Team
ElliottWave-Forecast.com
In this technical blog we’re going to give you some tips on how to avoid one of the most common traps in Elliott Wave trading. We will try to close you to our strategy, emphasizing importance of trading with the trend.
Many beginner traders believe that spotting formation of a good pattern or clear Elliott wave count on 1 Hour, 30 minutes or even 15 minutes time frame is enough to make good trading decisions. Unfortunately that’s not the case. Trading in that manner leads to many negative trades and missed opportunities, however many traders keep falling in that trap.
At Elliott Wave Forecast, our market experts follow more than 50 global financial instruments and base forecasts on the most clearest structures at any given time. We spot incomplete swings sequences in higher time frames like 4 Hour , daily or even weekly charts and look for potential entries on lower time frames. Patterns in short term are used only to determine potential entry areas so we can go with the flow of the major trend. Before we continue, here’s a short reminder :check out new EWF blogs and Free charts.
We’ll explain more through EURUSD example
The chart below is a 1 Hour Elliott Wave London update of EURUSD from 11.15.2016. The pair has made clear 3 wave Elliott wave bounce from the lows. Second X connector is about to complete at 1.0808-1.0848 ( sell zone).We advised our members to avoid buying the pair and favor the short side.
It’s important to understand that we didn’t base our bearish forecast and sell decision on 1 Hour price structure and we used this time just to determine the inflection area and potential entry zone : 1.808-1.0648. 1 Hour Elliott Wave analysis is only the tip of the iceberg. True essence lies in the deep swing-cycle , distribution and market correlation analysis of the higher time frames. In this case, we look at the daily chart to spot an incomplete bearish sequence from 5.3.2016 peak which was calling for more downside to reach the target area.
EURUSD Weekend Elliott Wave update 11.12.2016
The price is showing incomplete bearish swings sequences in the cycle from the 5.3.2016 peak (1.1617). The decline from the mentioned peak is unfolding as a clear 7 swings structure. It’s suggesting further decline as 7th swing is missing the target area 1.0656-1.0489. Eventually the price reached the mentioned target area, making decline of approximately 300 pips from 1 Hour sell zone 1.808-1.0648.
Our market experts educate members constantly through live sessions, also providing you with money management and trading psychology tips. With us you keep growing not only as an Elliott Wave analyst, but also as a trader.
FURTHER DISCLOSURES AND DISCLAIMER CONCERNING RISK, RESPONSIBILITY AND LIABILITY Trading in the Foreign Exchange market is a challenging opportunity where above average returns are available for educated and experienced investors who are willing to take above average risk. However, before deciding to participate in Foreign Exchange (FX) trading, you should carefully consider your investment objectives, level of xperience and risk appetite. Do not invest or trade capital you cannot afford to lose. EME PROCESSING AND CONSULTING, LLC, THEIR REPRESENTATIVES, AND ANYONE WORKING FOR OR WITHIN WWW.ELLIOTTWAVE- FORECAST.COM is not responsible for any loss from any form of distributed advice, signal, analysis, or content. Again, we fully DISCLOSE to the Subscriber base that the Service as a whole, the individual Parties, Representatives, or owners shall not be liable to any and all Subscribers for any losses or damages as a result of any action taken by the Subscriber from any trade idea or signal posted on the website(s) distributed through any form of social-media, email, the website, and/or any other electronic, written, verbal, or future form of communication . All analysis, trading signals, trading recommendations, all charts, communicated interpretations of the wave counts, and all content from any media form produced by www.Elliottwave-forecast.com and/or the Representatives are solely the opinions and best efforts of the respective author(s). In general Forex instruments are highly leveraged, and traders can lose some or all of their initial margin funds. All content provided by www.Elliottwave-forecast.com is expressed in good faith and is intended to help Subscribers succeed in the marketplace, but it is never guaranteed. There is no “holy grail” to trading or forecasting the market and we are wrong sometimes like everyone else. Please understand and accept the risk involved when making any trading and/or investment decision. UNDERSTAND that all the content we provide is protected through copyright of EME PROCESSING AND CONSULTING, LLC. It is illegal to disseminate in any form of communication any part or all of our proprietary information without specific authorization. UNDERSTAND that you also agree to not allow persons that are not PAID SUBSCRIBERS to view any of the content not released publicly. IF YOU ARE FOUND TO BE IN VIOLATION OF THESE RESTRICTIONS you or your firm (as the Subscriber) will be charged fully with no discount for one year subscription to our Premium Plus Plan at $1,799.88 for EACH person or firm who received any of our content illegally through the respected intermediary’s (Subscriber in violation of terms) channel(s) of communication.
Editors’ Picks
EUR/USD holds losses below 1.0900 amid cautious mood
EUR/USD is posting small losses while below 1.0900 in the European session on Tuesday. The pair treads water amid a cautious market mood, as traders weigh the US political updates and China slowdown worries. The US Dollar holds steady, in the absence of top-tier economic data.
GBP/USD stays pressured toward 1.2900 as US Dollar stabilizes
GBP/USD is on the defensive toward 1.2900, lacking firm direction in European trading on Tuesday. The US Dollar looks to stabilize after the early decline, weighing on the pair. Traders await mid-tier US housing data for fresh trading impetus.
Japanese Yen improves as US Dollar remains tepid due to rising odds of Fed rate cuts
The Japanese Yen extends gains as traders expect the BoJ to raise rates next week. Toshimitsu Motegi, a senior official in the ruling party, urged the BoJ to communicate its plan to normalize monetary policy. Media reports indicate that Vice President Kamala Harris has now surpassed 1,976 Democratic delegates, securing the party's presidential nomination.
Editors’ Picks
EUR/USD holds losses below 1.0900 amid cautious mood
EUR/USD is posting small losses while below 1.0900 in the European session on Tuesday. The pair treads water amid a cautious market mood, as traders weigh the US political updates and China slowdown worries. The US Dollar holds steady, in the absence of top-tier economic data.
GBP/USD stays pressured toward 1.2900 as US Dollar stabilizes
GBP/USD is on the defensive toward 1.2900, lacking firm direction in European trading on Tuesday. The US Dollar looks to stabilize after the early decline, weighing on the pair. Traders await mid-tier US housing data for fresh trading impetus.
Gold price remains at bay with US data in focus
Gold price trades with caution in the countdown to a string of US economic data. Firm Fed rate cut hopes to keep the upside in the US Dollar limited.
Bitcoin price struggles around $67,000 as US Government transfers, Mt. Gox funds movement weigh
Bitcoin struggles around the $67,000 mark and declines by 1.7% at the time of writing on Tuesday at around $66,350. BTC spot ETFs saw significant inflows of $530.20 million on Monday.
Big tech rebound ahead of earnings, Oil slips
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Tesla and Google are due to report earnings today after the bell, and their results could shift the wind in either direction. Despite almost doubling its stock price between April and July, Tesla sees appetite for its cars and its market share under pressure.
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