Elliott Waves Indicator for Metatrader 4
If you want to use the Elliott Wave Principle correctly, you should study the patterns of the market action. These patterns can tell you a lot of useful and significant information: for example, price levels, to which the market will rise or decline, and also patterns or ways of this rise and declination. The only thing you should do is to determine the patterns correctly.
The Elliott Wave Principle can be used by you for trading only after you’ve learned how to recognize and apply the patterns. It isn’t an easy task to do, but you will manage to do it. You will just need to do some study and use our “detailed and personalized daily chart service” tool. A human being, who has enough experience, can make market analysis in an instance, and it is a very important skill for trading.
The abovementioned “daily chart service” works only with the patterns, which can be found in the Classic Elliott Wave patterns. In order to make an analysis of these patterns we used the Classic Rules.
Other patterns were defined by us in the Modern Rules. These are the patterns we’ve discovered during more than ten years of researches. We consider these patterns to be more profitable than the others. Thus, our valuable experience and vast knowledge in this field are given to you without additional payment.
First of all, we look at the big picture, and only after that we try to make determination of the most preferable rules.
You will find pictures below in the descriptions, which depict a bull market (on the left) and a bear market (on the right).
The structure of the pattern is given in the “Pattern” section, while the “Description” section (as the title says) gives description, i.e. additional details. Next there is the “Rules and guidelines” section containing behavior of the pattern derived from the picture. The “In which wave” section allows us to see the wave, in which the patterns normally occur. The last section is the “Internal structure” section, which describes the internal structure of the pattern. If you want to understand which pattern you are dealing with, this section will be very helpful and important.
Classic Elliott Wave patterns
All Elliott Wave patterns are enumerated and depicted below. These patterns strictly follow the Elliott Wave Principle. Generally, almost all patterns, mentioned below (except the Diagonal 2 pattern), were discovered by Elliott. Unfortunately, Elliott didn’t discover the WXY and WXYXZ pattern, but he already had faced such kind of combinations.
For labeling Double and Triple Zigzags we used the WXY and WXYXZ in our analysis, because such labeling is much more convenient and consistent. The reason is that the ABC waves, included in the W and Y waves, represent sub waves, and the Wave X is now unnecessary.
Thereby, now we have possibility to search for only five waves in our daily analysis and don’t have to search for more waves. If we have used the old definition of Triple Zigzag, we would have had to search for eleven waves, and it would have brought a lot of inconvenience and considerably slowed down the whole process.
to be continued…
BJF Trading Group inc.
http://iticsoftware.com
This entry was posted on Sunday, December 12th, 2010 at 10:29 pm and is filed under forex indicator, metatrader indicator. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.
