1. Think of Wolfe waves as ENDING DIAGONALS. Ending diagonals occur in wave 5 and wave C. So, they usually mean a change in direction of the market.
2. It requires CONTRACTING TRENDLINES with the final wave overshooting the trendline.
3. The price and time estimate can also be made.
2. It requires CONTRACTING TRENDLINES with the final wave overshooting the trendline.
3. The price and time estimate can also be made.
- For the PRICE TARGET join wave 1 and 4.
- For the TIME TARGET the point where contracting trendlines meet.