ad

What is an Elliot Wave Analysis ?

Elliot wave analysis is a means of predicting the direction of currencies, enabling to reduce risk and maximize returns

Elliot wave analysis is a means of predicting the direction of currencies, enabling to reduce risk and maximize returns. Formulated by Ralph Nelson Elliott in the early 1930s, the Elliot Wave theory established that the market moves in repetitive cycles in the pattern of waves, based on mass psychology. This theory laid the foundation for Elliot Wave analysis, a form of technical forex analysis, which entails identifying and analyzing repetitive wave patterns.

Elliott Wave Analysis: The Wave Pattern

Elliott wave theory categorizes market behavior into a repeating sequence of eight waves, comprising of 5 impulsive waves and 3 corrective waves.

Impulse Waves

Wave 1: At this stage, the market is on the verge of becoming bullish, resulting in speculations of an upward movement of prices. This wave is the weakest of all impulsive waves, as the swing here is not very intense.

Wave 2: Moving in the opposite direction of Wave 1, this wave corrects the market movements resulting from Wave 1. However, the pullback at this stage will never go below the origin of Wave

Wave 3: The longest impulse wave, Wave 3 begins very slowly and moves above Wave 1 gradually. The strongest impulse wave, during this phase the prices rise and the market becomes bullish steadily.

Wave 4: A strong rally increases selling in the market; and therefore, Wave 4 moves in the opposite direction of Wave 3, causing a pullback or correction. Again, the pullback will not go below the origin of Wave 3.

Wave 5: This is the last wave in the dominant trend. At this phase, the prices rise to a moderate level.

Corrective Waves

Wave A: On this wave, the market starts to turn bearish, though it may be considered bullish.

Wave B: During this phase, the prices rise. However, the rise is inadequate to offset the downturn of Wave A.

Wave C: The last wave in the corrective trend, during this phase prices lower, increasing bearish sentiments in the market.

Using Elliott Wave Analysis for Forex Trading

Elliott wave is observed over small timeframes, such as minutes, hours and days as well over large timeframes, which may be as high as decades. Therefore, time is a key parameter of Elliot wave analysis,which makes the theory an exercise of probability. By identifying the probable timeframes of each wave, a forex trader can plan the ‘best’ moves within each wave. Therefore, Elliott wave analysis helps to spot the highest possible moves with the least possible risk.

Comments (79)

  • Xvshqz
    ivermectin and covid - ivermectin iv ivermectin 3mg for lice
  • Floobezes
  • Yfzsxr
    ivermectin 2ml - ivermectin price ivermectin for people
  • Gotxxz
    stromectol order - stromectol pill price purchase stromectol
  • cost of ivermectin pill
    stromectol online canada stromectol medicine
  • Cqcsbu
    doxycycline 50 mg price uk - doxycycline capsule price prednisolone to buy
  • Nvnlzd
    how much is doxycycline in south africa - azithromycin doxycycline prednisolone 25mg price uk
  • Diodso
    buy cytotec 200mg - cytotec cost in india cytotec prescription
  • emusuaf
    http://buypriligyhop.com/ - buy priligy 60 mg
  • seastelek
  • Nfpiui
    cytotec price canada - cytotec 800 mcg cytotec tablets for sale uk
  • Vpkcko
    ventolin price in india - ventolin for sale ventolin tablet price
  • Qbagrc
    albuterol inhaler - albuterol sulfate albuterol sulfate inhaler
  • Wjznlb
    where can i buy otc furosemide - cost of lasix 20 mg buy lasix online india
  • ivermectin 500mg
    ivermectin syrup ivermectin uk
  • Tvzqxq
    furosemide 400 mg tablets - can you order furosemide without a prescription online furosemide 40 mg buy online
  • Ukozss
    buy deltasone - prednisone 5 mg buy online prednisone price australia
  • Uocspq
    prednisone uk over the counter - prednisone 5mg tablets deltasone 5 mg drug
  • Wetsstari
    https://buytadalafshop.com/ - cialis 40 mg
  • Nbipzw
    ivermectin cost australia - stromectol usa price stromectol 0.5 mg
  • Yxcwov
    stromectol 12 mg - stromectol drug ivermectin brand
  • Marvinslobe
    cheap viagra canada medications without prescription buy lsd online cialis low price cheapest viagra prices [url=https://www.aapkevichaar.com/User-pizzasoap42]viagra-canada[/url] canadian cialis online pharmacy sildenafil generic buy generic viagra online viagra from a pharmacy in canada [url=https://vimeo.com/stampnoodle59]lowest prescription prices[/url] viagra substitute pharmacy rx one online pharmacies canada generic pharmacy [url=http://ashdoda.net/user/zephyrseeder83/]cialis discount[/url]
  • furosemide 20 mg price
    furosemide cost cvs lasix 40 mg tablet vog New
  • oral ivermectin
    Kamagra Tablets
  • ceanulp
  • Cialis
    Where Can I Buy Doryx Tulsa
  • Nsrugk
    cialis price nz - Cialis pharmacy cialis 2.5 mg price india
  • MarvinEnsum
    prescription drugs from canada calis canadian online pharmacy for cialis cialis prices viagra canadian [url=http://darksside.com/user/wallflower45/]no prescription viagra[/url] what does viagra do about canadian drug companies mail order viagra buy lsd online [url=https://www.inventables.com/users/justesentodd5893]discount cialis canada[/url] buy cialis online canada buy heroin online cialis without a doctors prescription canadian pharmacy store [url=https://johnwickcss.com/member.php?action=profile&uid=42977]buy viagra australia[/url]
  • furosemide for sale
    lasix 40 mg tablet online lasix 80 mg vog New
  • Ovlcpf
    cialis best price - Brand name cialis overnight tadalafil generic pills
  • furosemide tablet price
    furosemide 40 mg cost lasix 500 mg price vog New
  • Epnmay
    viagra tablet canada - Buy viagra in us viagra generic in mexico
  • lasix 40 mg
    buy lasix online no prescription furosemide 20 mg cost vog New
  • Syxyft
    sildenafil buy nz - Rx generic viagra sildenafil tablets 50mg buy
  • Uuztxm
    best website for writing essays - research essay help buying an essay
  • Taqiot
    help with papers - essay helper online buy an assignment
  • buy lasix online without prescription
    furosemide 40 mg cost lasix 80 mg vog New
  • Tqurrg
    medrol price - lyrica 75 mg generic lyrica generic
  • https://ivermectinmeds.com/
  • Eagegnalt
  • Lvlyyh
    methylprednisolone 80 - cost for lyrica buy lyrica 75 mg online
  • Gkblea
    buy amoxicillin 500 - can you buy amoxicilin over the counter buy amoxicillin 500 mg india
  • Muteja
    buy amoxil online - generic amoxicillin cost amoxicillin walgreens
  • Xonxgm
    accutane pharmacy prices - compare accutane prices accutane from mexico
  • Cacclz
    buy accutane in india - can you buy accutane online accutane australia buy
  • Auzdbz
    prednisone vs prednisolone - prednisone 20mg tablets where to buy where can i buy prednisone online
  • Joyuqn
    brand name prednisone - buy prednisone 40mg online online prednisone
  • Payokn
    ivermectin 1%cream - ivermectin tablets for humans stromectol ivermectin tablets
  • Hgyurg
    buy oral ivermectin - can you buy stromectol over the counter ivermectin pills
  • Aqgnvs
    vardenafil side effects in men - vardenafil hcl 20mg generic viagra cialis vardenafil cheap
  • Sevydg
    buy viagra vardenafil alternative lavitra - cialis vardenafil online order vardenafil usa
  • Hauromb
    https://buystromectolon.com/ - Stromectol
  • Adtbzy
    tadalafil best price 5mg - generic cialis online best price top 10 pharmacy websites
  • Ahmghn
    buy tadalafil 20mg uk - tadalafil 5mg india
  • Fyspdl
    female viagra pill buy - sildenafil 100mg tablets price
  • Cjnoop
    order viagra 100mg - cost of viagra 100mg in australia
  • Isutvv
    neurontin medicine - neurontin prescription levothyroxine price without insurance
  • Hkfgxw
    buying neurontin online - levothyroxine 175 synthroid 50 mcg generic
  • Cmieme
    cheapest doxycycline uk - where can i buy doxycycline without prescription doxycycline cheap
  • Edagxo
    can i buy doxycycline online - doxycycline 100mg tablet doxycycline antibiotic
  • JefferyApere
    viagra overnight shipping northwest canadian pharcharmy online low cost viagra online pharmacy usa walmart medication list women and viagra purchase viagra professional ed treatment medications canadian prescriptions viagra sales tadalafil generic best prices viagra sildenafil viagra sales canadian meds viagra cialis from canadian pharmacies order viagra from canada
  • Jvvucg
    generic cytotec 200 mcg - misoprostol over the counter buy cytotec 200mg
  • Wbpcji
    cytotec pills buy online - cytotec 800 cytotec australia
  • Ybvret
    albuterol without prescription - gnrventolin.com ventolin cost
  • Vwwlce
    buy Albuterol - generic ventolin ventolin cost usa
  • Fvezfy
    covid ivermectin - ivermectin 400 mg brands where to buy ivermectin cream
  • JefferyApere
    northwestpharmacy.com scam buy cheap generic viagra canadian cialis viagra directions viagra sample viagra generic brand walmart drug prices without insurance calais pills from canada viagra prescriptions internet pharmacy cialis cheap cilas canadian online pharmacy for cialis drug canada canadian-pharmacy-online when will viagra go generic
  • Rsyjrp
    brenda 35 ed contraceptive pill - medications list best erectile dysfunction pills
  • Ikneub
    stromectol drug - ivermectinhuma.com ivermectin 4 mg
  • Jefferylek
    sample viagra buy viagra without prescription cost of viagra viagra dosage cialis canadian pharmacy cost of viagra in canada canadian pharmacy store viagra erections cost of cialis at walgreens viagra online from canada buying drugs from canada buy cialis in canada online canadian generic viagra canadian pharmacies viagra viagra canada online pharmacy canada online pharmacy viagra
  • Asnykj
    prices generic cialis - Cialis pharmacy online online pharmacy delivery
  • Clyxlm
    can you order viagra from canada - buy viagra in singapore sildenafil in europe
  • Vnmzeg
    prednisone without a prescription - prednisone prescription prednisone for dogs
  • Uybxuu
    online ed medications - which high blood pressure medication causes erectile dysfunction new ed treatments
  • Lkdojf
    online casino games - site wind creek casino online play
  • Zlrzkl
    ivermectin human - ivermectin 1 cream generic ivermectin without a doctor prescription
  • Lamrbi
    legitimate online pharmacy uk - buy cialis 5mg online australia tadalafil medicine
  • Twasfb
    how to purchase viagra in uk - sildenafil where to buy sildenafil 50mg otc
  • Tuyaoe
    cialis daily use cost - cost cialis 20mg how to order generic cialis

Write a Comment

Forex Featured Brokers

FBS

100% Welcome Bonus
$140 No Deposit Bonus
Broker Type : STP/ECN
Leverage up to 1:3000

Start Trading View Profile »
LegacyFX

Free Trading Signals
Leverage - up to 1:200
Minimum Deposit: $250
Broker Type: STP/ECN

Start Trading View Profile »
HotForex

100% Free Credit Bonus
Minimum Deposit $5
Leverage up to 1:1000
Broker: STP/ECN/NDD

Start Trading View Profile »
RoboForex

$30 No Deposit Bonus
120% Forex Deposit Bonus
Leverage up to 1:3000
Minimum Deposit $10

Start Trading View Profile »
Axiory

Up to 100% Deposit Bonus
Minimum Deposit $10
Leverage up to 1:777
Broker Type: NDD

Start Trading View Profile »
ATFX

Up to 50% Deposit Bonus
Leverage up to 1:400
Minimum Deposit $100
Broker Type: NDD

Start Trading View Profile »