4 replies to this topic

[relax]

Hi, When does one know if the move down is a 4 and not the A? I have a situation where the move down just went below 3 - is that OK? In order words, is wave 5, after having passed top of wave 3, allowed to come back down below 3 before moving up again and finishing off wave 5 Hope it makes sense. Thanks for your time guys!

[fib_1618]

In order words, is wave 5, after having passed top of wave 3, allowed to come back down below 3 before moving up again and finishing off wave 5

No...not within the same degree of trend.

Situations such as those you've outlined would suggest that a smaller degree of trend has completed (a simple 5 wave structure), and that the larger degree of trend continues to unwind within this same tiering relationship.

Of course all of this depends if you're looking at a 5 wave structure to begin with, but hopefully this general review helps you out.

Fib

[relax]

This makes sense, but just want to give you the exact numbers

Top of wave 3 at 418
Bottom of wave 4 at 348
And then currently in wave 5

wave 5 can be split into separate waves as there was a top at 488 (february), before moving down to 440 (february crash)

Then coming up to 502, but today moving down to 487 (not below the big wave 3, but below wave 3 of 5)

Initially I had forecast a move to 525, so therefore I am now wondering if the move down to 487 has defined a top and the end of wave 5 of 5

Hope you understand, otherwise I will try again.

Thanks!

In order words, is wave 5, after having passed top of wave 3, allowed to come back down below 3 before moving up again and finishing off wave 5

No...not within the same degree of trend.

Situations such as those you've outlined would suggest that a smaller degree of trend has completed (a simple 5 wave structure), and that the larger degree of trend continues to unwind within this same tiering relationship.

Of course all of this depends if you're looking at a 5 wave structure to begin with, but hopefully this general review helps you out.

Fib

[fib_1618]

The best way to learn from this methodology is posting a daily chart, with volume, and maybe a 5 or 8 day RSI. From that you, and others, will be able to follow along. Numbers mean nothing really...it's like describing a house and saying it has windows and doors - it tells you something, but tells you nothing about the structure and texture of the house. Fib

[Stickan]

Here is an explanation on how to post a chart.


http://www.traders-t...?...E=01&HID=18

Good luck