Dow Wolfewave

[DaxTrader]

Interesting. Skim and CM - did you find that they were, like other market reversal techniques, dependant on not trading them in a trend ?
Traded them in the FTSE about 4 years ago, with great success in sideways markets, but handed back winnings (and more ) in a prolonged trend :-( .

Problem seemed to be that any consecutive 3 highs in an uptrend can look like one, with the "point 4 lower than point one" rule met.

Fordy's chart above looks like the point 3 could also be a point 5 for example.

 

[rossored]

Here's an example of a 1min WW on the Dow yesterday that failed to make target.

 

[rossored]

DaxTrader has also just sent me this example of the same move from my first example, as shown on the Dax.

 

[Skimbleshanks]

I think the main thing about wwaves is that they either come out of the chart and hit you on the nose, or they don't! If you have to look for them, they're not really there. The best ones are crystal clear.

If you look hard enough, you can find them everywhere, but I found that by sticking to the crystal clear ones it was best - and the longer term the better. Also, on intraday, they work well over several days, which is not always easy to remember when you're engrossed in the current day's activity!

 

[micromike]

dsmodi

A good example would be HBOS on 29th January this year when their was a hammer bottom and bullish engulfing. The price at the hammer was 518 which rose to 812 0n 19th June. I hope you have easy accress to this chart. If not I'll email you a copy.

Had intended to include chart but having problems in downloading updata chart. Chart taking too much memory. Can anybody help re downloading charts ?

 

[micromike]

barjon

I agree that the patterns you find useful are also good. I really mentioned all this with tongue in cheek. However, even if it is a reversal lasting only for a few days it is better than nothing. Similarly a trend can be short-lived whether up or down. Nice to see that somebody else is using candlesticks. The funny thing is that most people use candlestick charts and are not too concerned about the candlestick patterns themselves. Mind you I believe some people have lost a lot of money relying on these charts solely on their own and of course they should always be backed-up using other indicators

 

[barjon]

micromike

I also like the stalled/deliberation pattern and using failed shootingstar(ish) and hammer(ish) candles as continuations.

Don't know if you've looked at the FTSE100 July thread (page 15 4pm) where I ran through the success of candlestick signals on wednesday. They certainly had a good day then (and not bad the day before)!!

good trading

jon

 

[micromike]

dsmodi

Further to yesterdays post now attach chart - I hope !

 

[rossored]

Oi oi oi! Whats going on here then? I thought this thread was about wolfewaves, not candlesticks!!

 

[DaxTrader]

yeah, thought I was on the wrong thread

 

[barjon]

apologies to all you wolfers - let you get back to the proper theme.

jon

 

[micromike]

rossored

As you may remember when I first commented on your initial post about wolf waves I just happened to mention that your candle chart also had quite a good candlestick pattern. This promptly resulted in two posts about candlesticks which I replied to as a matter of courtesy. This did not at the time really seem to warrant starting a new thread.

Sorry if I have offended you and any other wolfers. I can hear your howls from here.

If there is any more mention of candlesticks then I will start a new thread.

 

[micromike]

Dax Trader

Sorry to hear that you thought you were on the wrong thread - my apologies.
Please refer to my reply to rossored for explanation.
I had a feeling that I would get my fingers burnt in mentioning candles or candlesticks.
Would like to say more but better leave it to another thread

 

[Oldun]

Unusually, contributors to this site with excelent credentials(ChartMan & Skimbleshanks) rate this method as having promise.

Has anyone out there actually spent the $3k on the manual and the 10 day fax course? If so, are you willing to report your experience of the method in use? Is it profitable?

There are some negative reports on the boards at http://www.elitetrader.com

Oldun

 

[Skimbleshanks]

IIRC the page with the Upcoming WolfeWave Teaching Schedule has had no dates on it since I started researching the subject two years ago. The website doesn't look any different either.

There are negative reports all over the place, which is why I took the principle of wwaves and looked further afield for my knowledge.

I would say that wwaves are good to know about, but then so is fibonacci, Elliott, cyclical studies, et al. Definitely not worth $3,000. $100 at the most, with lunch thrown in. There are others out there who offer much much better, and at least $2,800 less.

I would not use them for serious trading - more for playing around. They are, to some extent, discretionary. And that is the problem if you look on trading as a science. If you look on trading as an art, then they may help you paint the picture.

It's only Bill Wolfe who calls them wolfewaves (well he would, wouldn't he?); they are called other things by other people.

 

[ChartMan]

For all you WW fanatics, why don't you do some original work and join the ranks of your's truly.
Take a look at applying WW's to RSI and CCI and see what you come up with. If you strike it lucky, half the winnings are mine but you cover all the losses

 

[rossored]

Right, sorry for the late reply peeps - been down at the Open all weekend getting sunburnt....

Micromike/barjon - no offence taken....posts on here can be hard to interpret. I take the p*** in most of my posts and that's all I was doing ref. the candlesticks. Sorry.

CM, that sounds like a good idea (havent I said that already further back??). I will take you up on your suggestion and try to tie it in with CCI etc and something else that Daxie/Fordy and I may have identified ref wwaves.

 

[rossored]

Here's another one, in yesterday Dow Cash, and in the following post in the futs : see how much harder this is to see in futures?

 

[rossored]

This is dow futures...

 

[rossored]

So, this is taken real-time - will it perform? Massively low target and market looks strong...but you never know.