Before you try to enter these 80% trade setups with zigzags and cup and handle W2 breakouts if you have to understand this ONE big key thing.
Accept the fact that we’re in a true bull market, and accept the trend and follow it.
If you’re one of those permabears who can’t accept it, and spend half your time losing money trying to scalp shorts on the upside, this is NOT for you.
Those elliott wave traders will consistently lose money fighting a pow- erful uptrend because.
1.) We’ve entered a 3rd wave as of Dec 09, 2013…not just a 3rd wave, but the EPICENTER of a 3rd wave move..ala the “3 of 3”…if you don’t know what a 3 of 3 is, essentially it’s the most powerful move in an elliott wave sequence, and will guarantee cause faces to ripped off and pessimis- tic permabears who can’t see the clear uptrend jump out of 40 story build- ings.
2.) The fact is…the trend is a clear 3rd wave..the perma bears who re- fuse to accept the fact that they are completely wrong and will continue ￼to be wrong, will keep shorting thinking that one day he’ll wake up with a big crash in the market. These guys also think that every corrective wave is the start of a crash, and at BEST they will make maybe 5 S&P points on a small corrective zigzag..but the fact is 60% of the time they won’t realize it’s just a minor correction and will usually get squeezed
over and over again. Your scalping attempts will continue to fail, and fight- ing a huge uptrend will make it worse.
3.) These elliott wave traders are also loyal and blind followers of Rob- ert Prechter, and will continue to act on command from this very danger- ous man…last count Mr. Prechter has told his followers to “triple leverage short” with a very high stop from what I heard 6 times in the past 2 years…each time that so called triple leveraged short position is stopped out with a very large loss. Based on triple leverage short positions on the S&P futures, that’s basically a complete wipe out. He is a very dangerous man, so keep that in mind. I’ve had many new subscribers who have told me stories of the money the lost following that him, and I tell them that I can help them in a big way. I had some long time subscribers who told me they had regained every- thing they had lost with Prechter simply following my signals.
Here’s one reason why my trades and signals are 80% profitable consistently…I know the trend. And I’ve made some pretty amazing elliott wave calls in the past few years including this one.
This is epitome of “wind behind my sails” confidence…In Jan 2012, I saw a huge 80% trade setup forming on the FIVE YEAR chart of the S&P DOW and NASDAQ…I called DOW 20,718, NASDAQ 4900 and S&P 2215…note…S&P was just 1355 at the time.
The fact that I knew this 3rd wave would form based on my extensive experience trading the “80% trade setup”, is why I don’t get scared of any corrections no matter how fast or deep it is…I know that in bull markets the dip is always bought…and 3rd waves form regularly in either a “3rd wave grinder”…which is a slow gradual rise after a large gap up move..or simply a LARGE GAP UP move. “The trend is your friend” so when your friend is very knowledgeable and very bullish, you fear nothing basically.
￼(on my youtube.com/gemxwave channel search for DOW 20,715 and you will find it located there with exact youtube time stamp from that date)
This video was posted the on my 36th birthday Jan 26, 2012 on Youtube…”..DOW 20,715, SPX 2215, NASDAQ 4900” “The crash on on the Europe crisis..perfect wave 2…zigzag…every time you get W1, W2, and W3 pattern break.. I’ve been right 85% of the time when I call a 3rd wave pattern break..if you see me calling a 3rd wave and you’re short be care- ful… the 3rd wave happens so frequently..this is just a no brainer to me that it’s a 3rd wave setup..if we take out 2887 on NASDAQ…target would be as high as 4900..no doubt about it…looks like cup and handle move [SPX]..pure 3rd wave setup…highest target would be 2215 and we will take out the all time highs shortly…i believe this will be a very long 3rd wave…this is the most bullish formation you can get…[DOW] target would be 20,715…this chart is so bullish it’s not even funny…this is the pattern break that every time i seen this 85% it develops and extends to the full 3rd wave target…and hits my targets..i know it sounds like a joke to you because 99% of elliotticians are bearish..I’m pretty sure that the higher ups know about me, but the general public..they have not grasped the Wavegenius yet..could be a melt up for the next 15 years”
Here’s what I called:
SPX was just 1355 at the time, but to me, it was a very exciting EUREKA moment yet again…
￼My favorite W1, W2 into huge upward 3 pattern which works 80% of the time was forming.
But this time on the FIVE YEAR CHART.
On the “DOW 20,715, SPX 2251, NASDAQ 4800 Long Term” video from Jan 2012, I had spotted this MASSIVE upward 3 pattern setup and stated that if the .786 or upside 1.00 fibonacci retracement break, we could see a huge move from SPX 1355 to 2251.
People that I was completely bonkers…to top it off I said there was an EIGHTY percent chance it was going to happen.
Basically, this W1, W2, W3 pattern and .786 breakout setup is that ex- act setup I use all the time to make my trades on 2 day or 10 day charts. Whenever I see this confirmed setup, I pretty much go nuts. MANY of my subscribers know this and whenever these numbers and letters pop up they pretty much get very excited.
Here’s the criteria.
1.) The first wave is simply 1-2-3-4-5 with the 3 being 1.618, 4 at .382 and 5 the typical of the 3 target fibonacci moves.
2.) The second wave MUST be a zigzag where the A wave is equal to the C wave, and the upward B travels .618 of the downward A.
3.) The breakout into the W3, that would follow would NEED to re- trace at least .786 of the entire downward zigzag.
4.) Based on the momentum alone, I would decide to make an entry at either a .618 retracement, .786 or 1.00 retracement…it’s usually one of those 3.
5.) Place a stop a hair above the .786 level to buy, and WHAM-O…good profit, large profit or VERY large profit…..
So in this video, this crazy 3rd wave 80% pattern was developing on a LONG term 5 year chart as opposed to 2 or 10 day chart which makes it WAY more potent a move.
With the confidence and precision that I have, I boldly called those 3 targets of the DOW SPX and NASDAQ.
As of November 2013, the SPX has travelled from the breakout pattern of 1355 to the recent high of 1808, and on it’s way to the 2251 minimum 1.618 target as described in that video.
But the funny thing, that could be just the start…you see, 2251 in SPX is a 1.618 minimum.
Over the years since the beginning of the last century, every long term major 3rd wave has been 1.618 X the percentage of gain of W1.
Based on this calculation my target would not be just 2251, on TheStreet.com article that was written about me in March of 2013, but as high as 3565!