Structured Wolfe Wave setting up in DJIA

The Estimated Price at Arrival line implies a significant correction is coming over the next few weeks. If it lasts as long as the previous correction, it likely will drop to the 9000 level or lower.

Paul: I just started a topic: Chart Background Color after you mentioned the background color of your charts. I thought it would be interesting to hear what everyone else uses.

This is how I look for WWs as they are forming.

I clone what could be a 1-3 line and put it at what could be a 2 point (the red line). The 2-4 swing has to terminate before reaching that line or the 1-3 and 2-4 lines won't converge.

I draw a line from what might be the 1 point through the 'Balance Point' of what could be a 2-3 swing (pink line). The 4 point will frequently terminate near that line, so far it looks like a potential 2-4 swing has come to within 4 or 5 ticks of that 'Balance Line". If price now goes back up to the green 1-3 line, that would complete the WW.

Also, it looks like a smaller WW might be forming in the 3-4 swing (see if you can find it), if it does, this would be a Well Structured Wolfe Wave which is the form of WW most likely to succeed.

Update for the last chart.

It violated the 1-3 parallel so it is not a WW.

Nice waves. Some times I'm able to see them, but my waves are some what "mutants" because they don't follow the rules as much. I will post some charts late eve.

BHReach. Thanks for taking the time to post your charts and comments.

Originally posted by i1hunter

Nice waves. Some times I'm able to see them, but my waves are some what "mutants" because they don't follow the rules as much. I will post some charts late eve.

You may refer to them as "mutants" but they may be a variation that works better than the original. I am looking forward to seeing them.

Here is my version of the Wolfe Wave. I called the Wolfee waves.
My rules are:

Bullish: # 2 higher than #1 - #4 lower than #2 - #3 lower or equal to #1 and #5 equal or lower than #3 as seeing in today's session, 1 minute chart below. - Reverse for bearish.

In the chart you see 2 Wolfees, the #6 in the second one, hits the 1180.33 Pivot and objective!

Notice the congruency with the Fibonacci 2.618 ext's and the pivot at 1180.33! It's like saying "come to papa".....
Some times I use the apex line to enter, and the initial protecting stop just below support or the #5 line, if it's close by. As seeing in the small wolfee that starts at 14:53. The apex line is very close to the low, making it a good place to enter.

Here is my bearish Wolfee wave version from yesterday's session, 1 minute chart.
Notice that between #5 and #6 there is an Elliot wave count that ends right at the 1.618% Extension!

For bearish, my rules are: #2 lower than #1. #3 equal or higher than #1. #5 equal or higher than #3. #4 always higher than #2. #6 Objective.

Hunter,
really glad to see that first chart you posted. I was going to post the same chart and ask if my lines were correct, but I got bogged down in other crap.

Thanks

and thank you, BHReach

I would not have traded the 1st one as a WW because the 1-3 and 2-4 lines diverge and will not cross in the future, also the 5 point did not come close to the 1-3 line.

I would have traded it as a Trader Vic 2B Double Bottom. The 2nd low was a couple of ticks below the 1st low, most likely just stop running.

The second one was a legitimate WW.

For the 2nd chart, that is a Well Structured WW. There is a small WW in the 2-3 price swing and it targets the 5 point of the larger WW.

WSWWs work most reliably.

If this is a #2 Bearish EW, it should start right about here. ES now trading at 1191.00 @ 13:22> If it is not then it should have void the EW. by 14:11
14:11 is a small time cycle, with 14:55 15:18, 15:48 and 16:03. I look for small highs and lows at support resistance on this times. Will see.

Originally posted by i1hunter

I have the WW but starts from the overnight. # 1, 08:30 @ 1191.25 H, # 4, 09:44 @ 1188.25. I think it is making a # 2 of a bearish EW If so then I will be looking at 1176 as the objective. Will see, it needs to finish #2 EW wave first. Will see, In due time will show us the way.

Bearish EW will be voided if price moves above today's high......