waveslider

Think we have one here boys and girls... everyone else must be seeing this as a double bottom (Using the end of Nov. lows). My only concern was the momentum that built on the movement from point 4 to point 5. I think it will be a tough crawl back up. Here's my chart of the SPY, 60minute chart. I threw in the Andrew's chart for perspective... I'm long again.

I'm right with you bubba and Thrunner -- seeing the same thing... like that capitulation day friday gap down and all

404, if you are a hedge fund manager there are restrictions about what you can say to the public regarding performance. That's why you wouldn't hear from that portion of traders. I manage a hedge fund. But I make most of my personal income from trading futures. The fund is conservative and consistent. I believe that to earn a living and become wealthy by trading, you have to start slowly and scale up as your trading proves itself. The only fast road is the path that runs you out of the business quickly. That's what the other 95% have learned. When you hear about guys like the ones you mention, look where they are in 10 years. Chances are they are selling real estate somewhere.

SMH semiconductor ETF, Weekly chart. We are buying this based on technical signals, but the WW pattern is there too. It's right on the line, at an inflection point. Breaking out on the TRIX pattern daily chart, weekly at TRIX support and turning up. Looking at the weekly chart volume has declined. Holding in a mild parallel channel uptrend.

For those of you trading these markets, would you mind commenting on the liquidity and the various products traded? Also the hours when they are most actively traded? thanks!

"the harder they come, the harder they fall" - Jimmy Cliff These high risk people don't last. If you have read the trader vic book, you know that it doesn't matter how smart you are, it's how much exposure you have. If you have a lot of exposure and the market goes against you, you're @#$%ed. No one has the midas touch, eventually markets go against them. Smart traders who last in the biz learn how to hedge and control exposure. In other words, risk management is the key to success, not trading quantity. That's my 2cents 404.

Parallel Channels in $SPX.X Markets move randomly? No balance in the markets? You see it everyday on every time frame. Market geometry is so fun (when it works) !!

It would be nice, thrunner, if the indicator you use wouldn't draw all those light brown lines through price. Yours is a nice illustration of the larger parallel channel in $indu

Sparrow, yours had another suspect #2 pt, but it worked! Goes to show that either you can find examples of anything, or that the #2 point rule isn't so important.!!! Bubba- I have been seeing things your way, particularly your blue lines on the second pattern, though I used the low three days after your first point. It's pretty early for this pattern though. Here's my view of ES and RUT.X The ES parallel channel (Daily Chart): Initiates at the 50% mark of the previous trend, it has already proven itself once, now we are near confirmation. I like how it failed on both the top and bottom of the channel to break. As Gann said - as above, so below. $Rut.x 60 minute chart: Wide ascending parallel channel. Notice the breakaway gap occurs at 50% level. A lower open tomorrow may confirm this channel. Today's price action is divergent with TRIX indicator. Personally, I'm short.

Thanks thrunner. I agree the oscillator is not the same as the original. Using the linreg idea was mine, I suspected that was what he used. This is a valid idea to pursue, I think. Though I might just pay the man since he had the idea. Figured it was worth a shot rev. engineering it. Do you have any other suggestions to get it closer to the original?

Hey Bubba, can you put up a chart of what you see? OAC, do you have any examples? I think you may be right. What I see happening with a WW failure is basically point 5 ending up moving down the line lower in a bullish scenario. In other words, after point 5 is established, the market keeps chopping lower and you have to re-enter. In a wolfe wave scenario, there is no trend intact - - so the market may not be ready to go up to the 1-4 line. Timing is off due to cycles on higher time frames. The ER2 example I started this thread out with was an example of this. Sooner or later this board will find an example on the daily chart that we can all watch unfold together. I have a suspicion that there may be a bullish example developing in the S&P....

Nice one Tasuki, did you take it? Here's one from this morning, ES 233 tick chart

Last 3 days have been sleepy - look at the dojis in the various markets. Starting to get some action now - - it seems like everyone is waiting for the "Santa Claus rally", but the markets are being really tricky in their operation. It's really weird to me. I look at inter market relationships alot. The Nas was up the whole day (because of google/doubleclick I guess) while the rest of the market was down (until the close). On Wed. it was the opposite. Tuesday gave a great clue that the markets were going higher as the Russell outperformed the other markets into the close. Now the russell closes up 1.7% and the dow up .34% - - - WHAAA?? compare those 2 charts!! It looks like there is a short term long opportunity in the Euro and Brit. Pound futures. Reversals at the bottom of a channel.

This is the andrew's line for NQ. ES looks more bullish, ER2 looks like the NQ. This looks like a short term target to me. If NQ and ER2 had more bullish targets using Andrew's, I'd be more convinced. ER2 rising 3 days on declining volume. I don't buy it.

YOu're right, bubba - -- But for some reason my chart looks different than yours. I have the close just under the open of the day in ES. I nervously put on a few shorts into the close. This is a choppy market, I'm not saying that it won't go higher in the coming weeks, but I think there will be a return at least to today's VWAP.

Suri is a legit guy, I have discussed patterns with him in the past. He works hard at what he does, and likely makes money trading - which is a lot more than can be said for many other instructor/authors. He would be a great asset to TL.

Thanks bubba, yours looks ok, but I don't think I would have taken it since the #2 pt. didn't really fake people into the market. The one you posted a few days ago looked a lot better. Keep em coming. Today was a classic day for WW since it was a ranging market, couldn't go higher, couldn't go lower. I suspect this market is going higher, what do you think?

Nice. about $450 per contract with a conservative entry.

ER2 466 tick chart, potential.... would rather see the 4-5 wave one single thrust instead of chop..

here's the chart

The higher time frames are over-riding these short term patterns, trying to shake out longs. That's why this pattern works best in a range. A clue that these weren't going to be slam dunks was the fact that the other markets, like NQ were trending down throughout the day. That being said, the relative strength of ER2 is a bullish sign for the markets. On this chart you can see that I applied the andrew's line as a conservative target. When price failed at this line, which coincided with the 2-4 line, it was an exit signal. Markets will likely be gapping up tomorrow.

Here's another attempt. The markets are trying to trend lower, maybe they will slam low into the close to attempt a shakeout on the higher time frame. Good longer term buy signal on the daily charts.

This has gone and formed a larger pattern. The last trade would have netted break even or a small loss. Let's see how this one goes into the close...

Trade not looking so good any more at this point, has taken out #5 low. Will look to exit at about 750

Take one off here at the top of the channel