Starting thread on Wolfe Wave as there is no thread available on forum. I am not an expert in wolfe wave but learning it & hope other people will also help me in learning it efficiently. I will also try to post the live charts. Hope other Wolfe wave expert people will anticipate especially Murrat bhai.
What is the Wolfe Wave?
Simply put, the Wolfe Wave is a natural rhythm that exists in all markets. It is made up of waves of supply and demand that form their own equilibrium. It was not "invented" by me, but discovered. The key to its accuracy is in properly identifying the 1, 2, 3, 4 & 5 points. These are what give it its proper balance of equilibrium. It is very important to identify the dominant Wave. It is somewhat like recognizing those 3-D pictures. After a while a smile comes to your face and you say: "WOW, I see it."
Rules for Bullish WolfeWave Structure
Please note the odd sequence in counting, as you will see, it is necessary for the inductive analysis. By starting with a top we are assured of beginning our count on a new wave. (The reverse would apply for a bearish wave.)
The 2 point is a top.
The 3 point is the bottom of the first decline.
The 1 point is the bottom prior to point 2 (top), that 3 has surpassed.
The 4 point is the top of the rally after point 3.
The 5 point is the bottom after point 4 and is likely to exceed the extended trend line of 1 to 3. This is the entry point for a ride to the EPA line (1 to 4).
Estimated Price at Arrival (EPA) is trend line of 1 to 4 at apex of extended trend line of 1 to 3 and extended trend line of 2 to 4.
Estimated Time of Arrival (ETA) is apex of extended trend line of 1 to 3 and 2 to 4.
Rules for Bullish WolfeWave Structure
The 2 point is a bottom.
The 3 point is the top of the first rally.
The 1 point is the top prior to point 2 (bottom), that 3 has surpassed.
The 4 point is the bottom of the decline after point 3.
The 5 point is the top after point 4 and is likely to exceed the
ended trend line of 1 to 3. This is the entry point for a ride to the
EPAline (1 to 4).
Estimated Price at Arrival (EPA) is trend line of 1 to 4 at apex of
extended trend line of 1 to 3 and extended trend line of 2 to 4.
Estimated Time of Arrival (ETA) is apex of extended trend line of 1 to 3
and 2 to 4.
The Time take b/w point 1 to 3 should be equal to that of point 3 to 5.
characteristics of Wolfe wave :-
Waves 3-4 must stay within the channel created by 1-2
Wave 1-2 equals waves 3-4 (shows symmetry)
Wave 4 is within the channel created by waves 1-2
There is regular time between all waves
Wave 5 exceeds trendline created by waves 1 and 3 and is the entry point
The estimated price is a price along the trendline created by waves 1 and 4 (point 6).
PDF file :- Wolfe Wave PDF
For more reading stuff go to link Wolfe wave
Source : http://www.wolfewave.com
What is the Wolfe Wave?
Simply put, the Wolfe Wave is a natural rhythm that exists in all markets. It is made up of waves of supply and demand that form their own equilibrium. It was not "invented" by me, but discovered. The key to its accuracy is in properly identifying the 1, 2, 3, 4 & 5 points. These are what give it its proper balance of equilibrium. It is very important to identify the dominant Wave. It is somewhat like recognizing those 3-D pictures. After a while a smile comes to your face and you say: "WOW, I see it."
Rules for Bullish WolfeWave Structure
Please note the odd sequence in counting, as you will see, it is necessary for the inductive analysis. By starting with a top we are assured of beginning our count on a new wave. (The reverse would apply for a bearish wave.)
The 2 point is a top.
The 3 point is the bottom of the first decline.
The 1 point is the bottom prior to point 2 (top), that 3 has surpassed.
The 4 point is the top of the rally after point 3.
The 5 point is the bottom after point 4 and is likely to exceed the extended trend line of 1 to 3. This is the entry point for a ride to the EPA line (1 to 4).
Estimated Price at Arrival (EPA) is trend line of 1 to 4 at apex of extended trend line of 1 to 3 and extended trend line of 2 to 4.
Estimated Time of Arrival (ETA) is apex of extended trend line of 1 to 3 and 2 to 4.
Rules for Bullish WolfeWave Structure
The 2 point is a bottom.
The 3 point is the top of the first rally.
The 1 point is the top prior to point 2 (bottom), that 3 has surpassed.
The 4 point is the bottom of the decline after point 3.
The 5 point is the top after point 4 and is likely to exceed the
ended trend line of 1 to 3. This is the entry point for a ride to the
EPAline (1 to 4).
Estimated Price at Arrival (EPA) is trend line of 1 to 4 at apex of
extended trend line of 1 to 3 and extended trend line of 2 to 4.
Estimated Time of Arrival (ETA) is apex of extended trend line of 1 to 3
and 2 to 4.
The Time take b/w point 1 to 3 should be equal to that of point 3 to 5.
characteristics of Wolfe wave :-
Waves 3-4 must stay within the channel created by 1-2
Wave 1-2 equals waves 3-4 (shows symmetry)
Wave 4 is within the channel created by waves 1-2
There is regular time between all waves
Wave 5 exceeds trendline created by waves 1 and 3 and is the entry point
The estimated price is a price along the trendline created by waves 1 and 4 (point 6).
PDF file :- Wolfe Wave PDF
For more reading stuff go to link Wolfe wave
Source : http://www.wolfewave.com
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