Discussion of article "AutoElliottWaveMaker - MetaTrader 5 Tool for Semi-Automatic Analysis of Elliott Waves"
Forum on trading, automated trading systems and testing trading strategies
Discussion of article "The Implementation of Automatic Analysis of the Elliott Waves in MQL5"
newdigital, 2014.03.13 09:39
Keys to Investor Success - Elliott Wave Theory (based on thetechnicaltraders article)
Elliott Wave Theory - Plenty of people will freely offer you
advice on how to spend or invest your money. “Buy low and sell high,”
they’ll tell you, “that’s really all there is to it!” And while there is
a core truth to the statement, the real secret is in knowing how to
spot the highs and lows, and thus, when to do your buying and selling.
Sadly, that’s the part of the equation that most of the advice givers
you’ll run across are content to leave you in the dark about.
The reality is that no matter how many times you are told differently,
there is no ‘magic bullet.’ There is no plan, no series of steps you can
follow that will, with absolute certainty, bring you wealth. If you
happen across anyone who says otherwise, you can rely on the fact that
he or she has an agenda, and that at least part of that agenda involves
convincing you to open your wallet.
In the place of a surefire way to make profits, what is there? Where can
you turn, and what kinds of things should you be looking for?
The answers to those questions aren’t as glamorous sounding as the
promises made by those who just want to take your money, but they are
much more effective. Things like careful, meticulous research. Market
trend analysis. Paying close attention to extrinsic factors that could
impact whatever industry you’re planning to invest in, and of course,
Elliott wave theory. If you’ve never heard of the Elliott wave, you owe
it to yourself to learn more about it.
Postulated by Ralph Nelson Elliott in the late 1930’s, it is essentially
a psychological approach to investing that identifies specific stimuli
that large groups tend to respond to in the same way. By identifying
these stimuli, it then becomes possible to predict which direction the
market will likely move, and as he outlined in his book “The Wave
Principle,” market prices tend to unfold in specific patterns or
‘waves.’
The fact that many of the most successful Wall Street investors and portfolio managers use this type of trend analysis in their own decision making process should be compelling evidence that you should consider doing the same. No, it’s not perfect, and it is certainly not a guarantee, but it provides a strong framework of probability that, when combined with other research and analysis, can lead to consistently good decisions, and at the end of the day, that’s what investing is all about. Consistently good decision making.
We can use Elliott Wave Theory in real time by looking at the larger patterns of the SP 500 index for example. We can deploy Fibonacci math analysis to prior up and down legs in the markets to determine where we are in an Elliott Wave pattern. This will help us decide if to be aggressive when the markets correct, go short the market, or to do nothing for example. It also prevents from making panic type decisions, whether that be in chasing a hot stock too higher or selling something too low before a reversal. We also can use Elliott Wave Theory to determine when to be aggressive in selling or buying, on either side of a trade.
For many, its not practical to employ Elliott Wave analysis with
individual stocks and trading, but it can be done with experience.
Knowing when to enter and exit a position whether your time frame is
short, intermediate, or longer… can often be identified with good
Elliott Wave Theory practices. Your results and your portfolio will
appreciate it
Forum on trading, automated trading systems and testing trading strategies
Something Interesting to Read March 2014
newdigital, 2014.03.13 09:30
The Wave Principleby Ralph Nelson Elliott
The Elliott Wave Principle is a form of technical analysis that some traders use to analyze financial market cycles and forecast market trends by identifying extremes in investor psychology, highs and lows in prices, and other collective factors. Ralph Nelson Elliott, a professional accountant, discovered the underlying social principles and developed the analytical tools. He proposed that market prices unfold in specific patterns, which practitioners today call Elliott waves, or simply waves. Elliott published his theory of market behavior in this book "The Wave Principle". Elliott stated that "because man is subject to rhythmical procedure, calculations having to do with his activities can be projected far into the future with a justification and certainty heretofore unattainable."
Hi, I try it, but for me, there are no labels displayed. I am trying with esc key, or q or e but nothing.
Where is problem?
In graph - right corner is icon, that ea is loaded properly. Autotrading is ON.
Not working with me. i try under Win XP and Win 10, i think i've placed all the file in the right place
Thank you
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New article AutoElliottWaveMaker - MetaTrader 5 Tool for Semi-Automatic Analysis of Elliott Waves is published:
Author: Roman Martynyuk