Wolfe Wave
dji updateOn February 7, traders focused on Fed Chair Powell’s comments on the monetary policy at The Economic Club of Washington.
Powell noted that the disinflationary process had begun, but there was a long way to go before Fed’s inflation target would be reached. Importantly, Powell stated that Fed would not change its 2% inflation target, which remained the global standard.
According to Powell, the road to the 2% inflation will be bumpy. The recent job market data was much stronger than expected, and the Fed must continue to raise rates to reach a sufficiently restrictive level. Powell also noted that he expected significant progress in the fight against inflation.
Speaking about the potential for a rate cut in 2023, Powell said that Fed’s decisions would depend on economic data. The Fed continues to reduce the size of the balance sheet and has no target for this reduction. As in the case of interest rates, the decision to stop the reduction of the size of Fed’s balance sheet would be data-dependent.
previous analysis :
two scenario both ends @ 25$ ,believe it or notplease see chart on daily time frame
we may have seen a head and shoulder pattern is underway to be completing or we may face with fifth wave of an impulsive wave to be complete.
green line breaking will specify which scenario will happen
if green line breaks stock will rise to 500-600 $ and then go to 25$
if green line holds ,head and shoulder completed and stock go to 25$
a wolfe wave is also seen between head-and-shoulder-like pattern which is indicating upward move is more probable.
targets of upward move is 123-161% inverse Fibonacci retracement of wave (iii)-(iv)
please share your comments
a nice repetition of a pattern made earlier for target of 0.23$a nice repetition is underway as in 2022 a pattern made as depicted on the chart which is now happening in the same way with target @0.23$
the underlying behavior of such pattern is how kijensen and tenkesen of ichimokou is arranging when candles are going toward them.
another reason for correctness of this pattern is a wolfe wave pattern made earlier and its target is 0.23
please share your comments if you like this
please see my previous analysis as below:
HOW-TO: Wolfe Strategy [Trendoscope]Just made this short video to explain the concepts of Wolfe Strategy which I recently published.
Wolfe wave is popular concept among option traders. However, I have made some tweaks in this strategy to standard wolfe pattern trade rules.
Entry price based on breakout
No moving target - using flat target.
Entry is done based on risk reward
Not time bound
Intelligently decides whether to place stop order or limit order
Few possible future improvements
Make bidirectional trades possible
Better filters to chose long and short trades or when to trade
Lot can be improved on Wolfe scanner to identify more patterns
Exit strategy - can introduce optional trailing
Thanks for listening. Hope you enjoyed and learnt something from this :)
Tesla...Do dead cats ever bounce ?Looking for Tesla (TSLA) to produce a Wolfe Wave bottom in the mid to low $130's over the next several days.
(That said this is so oversold it may not get there.)
This achieved I have an early February 2023 target of $190.
Not investment advice ... do your own due diligence.
Momentum oscillators in the bottom pane should give an early warning.
Seasons Greetings Merry Xmas.
S.
wti updateTrader reaction to the long-term 50% level at $72.31 is likely to determine the direction of the January WTI crude oil market on Friday.
Bullish Scenario
A sustained move over $72.31 will indicate the presence of buyers. This could lead to a test of the minor top at $75.44. Taking out this level will change the minor trend to up and could trigger an acceleration into the short-term Fibonacci level at $78.72.
Bearish Scenario
A sustained move under $72.31 will signal the presence of sellers. This could trigger an acceleration to the downside with $63.73 the next major target.