Custom Metastock Experts, Indicators And Explorations
How Is This System Better?
First, it is simple in its principles although it adheres to the
popular concept of Elliott Waves. Second, you will have all the tools
necessary to use the concept. Third, it is the most affordable
combination for Elliott Waves Traders.
- Waves are defined in terms of percentage movement relative
to the price. A wave must behave like a wave hence an up wave must be
greater than the previous peak; a down wave must be smaller than the
previous trough. It also means that a wave can fail and this is why you
still need to use stop loss.
- There are different time frames
to encompass any movement whether slow or fast, large or significantly
small. Waves are identified within their range and are superseded by a
larger order of magnitude wave since it comes from a deeper impulse.
- The closing price is used instead of the high or low, because it is the latest available for a single day.
- It is using MetaStock 8.0 or higher because the software is affordable and easy to use for most investors.
- It is conservative in its approach of measuring profit, taking in account the time required to recognize a wave pattern.
- You
can run The Explorer that will give you all the pertinent data for your
trades. You will see the wave number, the bars since the recognition of
the wave count, a stop loss and the ROC since it has been recognized as
a wave.
- The indicators will help you forecast possible
target prices using Fibonacci ratios. You can also test your skills
anticipating the reversal point of a wave.
How Does It Work in Metastock?
You simply import the Experts, the Indicators, the Systems, the
Explorations, and the Templates. All are coded in native code from
MetaStock. A user manual is provided with graphs and basic information
on the Elliott methodology.
What is an Elliot Wave?
By popular concept, waves are made of peaks and troughs. Thus, when
transposed to the price of a security, we are looking at the direction
the price moves in peaks and troughs over a significant period of time.
- If price is increasing over the selected time span, we say the trend is bullish and the price is moving from a trough to a peak.
- If price is decreasing over the selected time span, we say the trend is bearish and the price is moving from a peak to a trough.
- The Elliott system attempts to measure rationally the evolution of price in patterns between peaks and troughs.
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