By now, you should already have a good foundational understanding as to the use of the Elliott Wave Theory, but this lesson will take it even further… we’ll now be adding multi-timeframe analysis into the equation.
A run on a higher timeframe is a trend on the lower timeframe - that’s what we will focus on in this lesson. If we believe a trend is developing, that means that a new run or new pullback is also beginning on a higher timeframe. For example, a wave 3 run on the monthly chart, will be an entire trend on a daily chart (1,2,3,4,5), going back to the fractal principle.
Correlation risk is important - and goes hand in hand with capital preservation. For example, say the Tech sector is presenting 5 different stocks for a short. If you choose to execute all 5 positions, that would be risking 5%. Instead, you can eliminate the correlation risk, by choosing to execu...
Trade breakdown by Jonny: IBO - USDCHF (S) 29 APRIL 2019
In this lesson, trending and ranging markets are explained. A trending market is indicative of price moving up or down (creating runs and pullbacks), whereas a ranging market moves sideways without any clear direction. It’s very important to identify the difference between the two market conditi...
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