For those that like to trade the night market on a smaller scale (MES) this 15-minute nailed the target line, for the most part, while you were asleep.
Precise Wolfe Wave timing works 24/7.
With the recent addition of zero days to expiration (0DTE), option trading gets even more exciting. Those with the Wolfe Wave knowledge can zero in on bets with precision to reap lottery like results.
On the two charts below the one on the left is a 30-minute of QQQ. My students could easily have recognized the bearish wave (not drawn). The chart on the right shows the price range of a put option. From bottom 1.02, to top 6.02, in just five hours on this “conservative” option choice.
QQQ with put option chart
On FOMC days things happen fast but not chaotic as TV would have viewers believe. It is simply balance: a natural rhythm, a Wolfe Wave.
At the 4 point the Fed announced a ¼ rate increase. TV analysts’ debate. Wolfe Wave practioners salivate. They know that price is likely to rally to a 5 point then reverse with a vengeance to the target line. This chart is a 15-minute of the SPY which is an ETF of the S&P. I plotted it on the SPY instead of the ES for easy comparison to a suitable SPY option.
So, what does this have to do with the stock market?
My ingredients are all natural. I use no preservatives or harmful additives: Indicators, oscillators, moving averages, or other junk.
I do use tools that were given to us by the Creator: Fibonacci spirals, waves, pendulum, vibrations and more.
Market commentary by Bill Wolfe
On the chart below the SPX is in a vulnerable position. The Fib spiral is losing its upward support and the price has entered a gap area that has thrown the price down, hard, in the past.
The Wolfe Wave count is at a dangerous 5 point, which calls for a reversal. Price could find some support at the “bumps” that I have identified.
My Wolfe Wave methodology is based on balance. It sure looks simple when I draw the lines for you. I can teach you the secrets.
Call options on TSLA have been offering lottery-like returns with minimal risk.
The current bullish wave should continue until price hits the target line or a bearish wave forms on a smaller time frame.
By taking my course you will learn the secrets and be able to scale down to as low as a 1-minute time frame to identify waves. Look too easy? Sure. Took me almost 50-years to perfect it.
The current bullish wave on the weekly time frame should continue until a bearish wave forms on a smaller time frame or the price hits the target line.
Did you know that identifying the correct time frame is the most critical component in chart analysis? Do you know that the time frame changes depending on whether you are looking for a bullish wave or a bearish wave?
This and much more is taught during my advanced lessons.
Please note the odd sequence in counting, as you will see, it is necessary for the inductive analysis. By starting with a top we are assured of beginning our count on a new wave. (The reverse would apply for a bearish wave.) The 2 point is a top. The 3 point is the bottom of…
WSJ Corroborates W.W. Methodology
“Day trader goes berserk and kills television” “Survey shows that 99% of day traders lose money” “Scientist discovers possible link between day trading and acne” Ever wonder why day trading gets such bad press? Day trading is often compared to horse racing and casino gambling, yet horse racing and casino gambling don’t come under assault. …
For those of you who consider a 5 minute chart “long-term,” the above 1 minute chart catches a “Picasso” in Wolfe Wave analysis. A perfect ETA and EPA. However in actual trading I advise against using the ETA as it just adds too many variables. Use the EPA to purchase a genuine Picasso.
As some traders already know, trading options is somewhat like that old game of “beat the clock.” In order to reap the huge reward, you not only have to be right on price direction, but you also must be correct on timing. The WolfeWave is the perfect tool for this. On the above S&P chart,…
Pavlov got his dogs to salivate at the sound of a bell. So do WolfeWave practitioners. Opening Bell. Stock and option traders, could have had a beautiful measured move on the above daily chart of IBM. Without learning the “X-Ray Vision” so to speak–it took me almost 35 years–it would be almost impossible to find…
The “surprise” explosion in the price of gold did not come as a surprise to WolfeWave practitioners. As savvy investors know, the share prices of gold stocks often rise before the price of the metal. The above weekly chart of ASA has a beautiful WolfeWave that telegraphed the move weeks in advance when it hit…
Most traders are afraid to hold overnight. WolfeWave practitioners make money while they sleep. On the above chart, the “sweet zone” (5) was entered shortly before the close indicating a move up to the target line. Next day, at the opening, TV was telling traders that it was going to be a “great day” because…