Question on fibs

SRB,

The 38 fib is the significant level for a wave 4 but what I was referring to earlier was the more common corrective waves. Sorry, I was probably waffling again and not being too lucid. For impulsive waves I'm looking for wave 2 to be 0.618 of wave 1; wave 3 to be a minimum of 1.618 of wave 1, if not it's probably an ABC and not an impulse move; wave 4 to be 38.2 of wave 3; and wave 5 to be 1.618 of wave 4. Apart from the minimum wave 3 % these are guidelines and not set in stone.

The one thing to look for in an impulsive wave that is set in stone is divergence in the RSI between waves 3 and 5. If this doesn't exist then it is not an impulsive wave. This is not open to question or doubt and I am certain Mr Elliot himself would have used this had it existed in his day. Many times folk try and label a five wave impulsive move with no divergence and they are wrong. The RSI is the one indicator you must use when labeling EWT. Can you imagine how 'Teed-off' that guy would be to have missed the era of the PC!

I hope some of this helps.

Diver.

Note to self read before submitting, obviously meant 62 fib diver.

Hi Diver,

Just interested in why the 38% fib does not come in to your target scenario as I have always thought that it was the 38 and the 68 that were considered the strongest and not the 50.

Cheers
SRB

For me the first target in any retrace is always the 50%fib; then the 61.8; then 78.6. If there's a support level between the first two levels then that is always favourite. As for scanning. As Remo has already said, I know of no method other than setting alerts. Personally the first thing I always do on opening any chart is to plot the fibs. Nothing else comes close as far as regards the level of importance, apart from support levels close by IMO.

Hi tradesmarter.
That would be hard to do. As the software does not automatically plot the fibs. As you can imagine everyone does the fibs differently so the only way to do it would be to plot the fibs manually then attach an alert to those fib levels. That way the system will let you know when it hits the fibs. It would require going through all the companies and plotting the fibs manually.You could have 100s of alerts set that way.

Do any of you software users have files/scans that highlight key retracement areas?....more and more I find fib 50 quick bounce and fib 61.8 for investment opportunitites (especially if these co-incide with long term rising trendlines) ... just wondered if there are any quick wins for the board that any of the pro's could publish?

Regards
T/s