Another way to plot Elliott Wave

bvpraveen · #1 9th May 2007, 09:22 AM

Hi all,

The best way to plot EW are:

1. Plot High and low of the day in the order of their occurence.
Personally I couldn't find a way to achieve this. Although Neely suggests a method of achieve this(manually entering values in an excel sheet), I find it tedious to implement.

2. Plot median price, (H+L)/2.
This lacks the high and low of the day, thereby missing very important data points.

Since these weren't encouraging, I tried to find some other way to plot EW:

I tried to plot waves by connecting the high and lows in the bar charts. This seems better than the previous method above.

Here is a quick description of this method:

Variables:
--Variable 'array' holds the values to be plotted
as waves.
-- H1, L1 are high and low of previous day
-- H2, L2 are high and low of current day

Method:
array =
1. High: When H2>H1 and L2>L1, ie higher high and higher low.
2. Low: When L2<L1 and H1<H2, ie lower high and lower low.
3. This case arises when either of the bar falls within the range
of the other bar. This is where the confusion arises. I wasn't
able to find the best one.
In this scenario, we take High or Low according to the "direction"
of the median price, (H+L)/2, of those two bars.

Line chart of High and Low of each day is also plotted, so that
we can overcome the inefficiency occured due to step 3 above.
ie we may refer them whenever we have confusion or confirmation
is needed.

Please refer to the attached chart. I've also included an AFL for this method.

Elliotticians, let me know, whether it lacks anything or it can be improved.

Regards,
Praveen.

kkseal · #2 23rd July 2007, 09:52 PM

Quote:

Originally Posted by bvpraveen

Hi all,

The best way to plot EW are:

1. Plot High and low of the day in the order of their occurence.
Personally I couldn't find a way to achieve this. Although Neely suggests a method of achieve this(manually entering values in an excel sheet), I find it tedious to implement.

2. Plot median price, (H+L)/2.
This lacks the high and low of the day, thereby missing very important data points.

Since these weren't encouraging, I tried to find some other way to plot EW:

I tried to plot waves by connecting the high and lows in the bar charts. This seems better than the previous method above.

Here is a quick description of this method:

Variables:
--Variable 'array' holds the values to be plotted
as waves.
-- H1, L1 are high and low of previous day
-- H2, L2 are high and low of current day

Method:
array =
1. High: When H2>H1 and L2>L1, ie higher high and higher low.
2. Low: When L2<L1 and H1<H2, ie lower high and lower low.
3. This case arises when either of the bar falls within the range
of the other bar. This is where the confusion arises. I wasn't
able to find the best one.
In this scenario, we take High or Low according to the "direction"
of the median price, (H+L)/2, of those two bars.

Line chart of High and Low of each day is also plotted, so that
we can overcome the inefficiency occured due to step 3 above.
ie we may refer them whenever we have confusion or confirmation
is needed.

Please refer to the attached chart. I've also included an AFL for this method.

Elliotticians, let me know, whether it lacks anything or it can be improved.

Regards,
Praveen.

While not an Elliottician, i am still attempting an algorithm for your Case 3 :-

HTML Code:

If OUTSIDE DAY (H2>H1 & L2>L1) then

            If prev day case =1 then array = Today's High(H2) [since this is a                                                                                       
                                                             higher high in an   
                                                             uptrend] 
      else If prev day case =2 then array = Today's Low(L2) [since this is a                                                                                                       
                                                             lower low in a dntrend]

If INSIDE DAY (H2<H1 & L2<L1) then array = Today's Median Price(H2+L2/2)  
 [since neither a higher high or a lower low has been made => No trend day]

This still leaves the following (rare but possible) scenarios unaccounted for

i)Both Day's with same Highs but different Lows
ii)Both Day's with same Lows but different Highs
iii)Both Day's with same Highs and same Lows

They can however be accommodated based on the fol :-

When the trend (based on H/L prices) is
i) UP, we'll follow it to the Highest price
ii) DOWN, we'll follow it to the Lowest price
iii) UNDECIDED, we'll settle for the Median Price

Regards,
Kalyan.

bvpraveen · #3 25th July 2007, 11:39 AM

Thanks Kalyan. I will try them and post the results here.

Praveen.

SUMOGAN · #4 25th July 2007, 12:32 PM

Quote:

Originally Posted by bvpraveen

Thanks Kalyan. I will try them and post the results here.

Praveen.

Dear BvPraveen

Once done post with the modified AFL.

also, if you good ALFs spare to this forum

Rgds
SunilMogan

bvpraveen · #5 25th July 2007, 01:15 PM

Quote:

Originally Posted by SUMOGAN

Dear BvPraveen

Once done post with the modified AFL.

also, if you good ALFs spare to this forum

Rgds
SunilMogan

May I know where you will be using this AFL?

You can find a huge collection of AFL's in the AFL Library(at Amibroker website), and at some dedicated threads in Amibroker section of Traderji.com

Praveen.

amitt29 · #6 25th July 2007, 01:32 PM

Use tick data.The highs and lows will be plotted automatically.

EW has its pleasures and pains.I say i have the pleasures,it has helped me see things in a better perspective,i am always against the crowd not to mention a better bank balance.

kkseal · #7 25th July 2007, 02:15 PM

Quote:

Originally Posted by bvpraveen

Thanks Kalyan. I will try them and post the results here.

Praveen.

Just a small thing Praveen. To check for the Previous Day Case you can maintain a 2nd array (say prevDayCase) where you can store the case value (1,2,3 etc.) for each day; i.e. you use the case logic just once in your code and access it whenever required from the prevDayCase array.

Regards,
Kalyan.

bvpraveen · #8 25th July 2007, 02:45 PM

Quote:

Originally Posted by amitt29

Use tick data.The highs and lows will be plotted automatically.

....

Thats same as line chart on tick data. Isn't it.

In that case, it becomes cumbersome to see weekly chart, and even daily chart.

Can you elaborate, if I misunderstood your point.

amitt29 · #9 25th July 2007, 03:43 PM

It doesnt become cumbersome,if the degree is identified correctly.It becomes cumbersome only when you have too many alternate counts(shows interpretation is wrong).

Focussing on price plot will be a good idea.As tick data plots the high and low in order.

Line charts can be used on hourly and 15 min.

Neely's way is pretty neat,but i daresay that very few can apply that in realtime.

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