This describes how you can read the Trend Wave Extreme Daily Analysis signals which are posted frequently.
Signals and report are generated once per day based on the Trend Wave Extreme Indicator.
Getting the indicator will allow you to get signals live as they arise and for the timeframes and instruments of your choice.
This is how a chart will look like. You can see both with and without the explanations.
It may seem there is too much information and a bit overwhelming but the info is simply there to help you understand better the chart.
It displays the values of the Trend, Wave, Extreme elements.
Each of the elements can take a value of -100% to 100%. This value is shown using color bars,percentage values and arrows.
Trend: Trades will follow the Trend direction so we want to find strong trending pairs (Above 50% for buy, bellow -50% for sell)
Wave: Shows what the short term direction is. If different than Trend likely wait and don’t trade yet.
Extreme: Shows if symbol is Oversold/Overbought to point out if trend is ending. If Overbought don’t buy,if Oversold don’t sell.
Our target is to Buy Up Trend /Oversold symbols and Sell Down Trend/Overbought symbols. By using this panel we can find these opportunities.
Information Action Panel
This simply displays the Instrument ,Time Frame and whether the Trend is pointing Sell or Buy.
Take Profit/Stop Loss Panel
This panel will demonstrate the two potential Stop Loss and Take Profit values that are closest to the Market Price at the given moment .
TP1/SL1 : First closest Take Profit/Stop Loss Value
TP2/SL2: Second closest Take Profit/Stop Loss Value
If the second value is blank then a potential break of the first level should mean a big move.
Take Profit/Stop Loss Levels are also displayed by dotted lines on the chart. Correction Line and Label:This displays a line showing the correction the symbol has performed from its trend and the number of pips this correction has been. The more pips the better as this will allow you to get the instrument at a better price.
Prediction: This displays where the symbol is likely to head from that point on
For more info check Trend Wave Extreme Indicator.