The Average Directional Index, or ADX, is the trend strength indicator. It helps judge how strong a trend is. The indicator is based on a moving average of price range expansion over a given period of time. The indicator automatically…

## How to Trade with Momentum Indicator/What is momentum Indicator

The Momentum technical indicator measures the amount that an asset’s price has changed over a given period of time. The indicator’s formula compares the most recent closing price to a previous closing price. If Momentum reaches extremely high or low…

## Practical Elliott Wave Trading Strategies Part 1

This tutorial begins a series of how to apply Elliott wave analysis for practical trading strategies. All subscribers have some Elliott wave background from my Dynamic Trading book. Because that book goes through the pattern structures in detail, there is…

## Fibonacci ratios

The Fibonacci series are a mathematical sequence in which any number is the sum of the two preceding numbers. The sequence goes as follows: 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144 and so on. The properties…

## Channeling

Channeling is an important tool not only to determine which sub waves belong together, but also to project targets for the next wave up. Channels are parallel lines, which more or less contain the complete price movement of a wave.…

## Ascending and descending Triangles

Description These are mentioned under the Triangles description in the Classic patterns section. Basically these patterns are the same as common contracting triangles, except for the fact that ascending and descending triangles slope up or down.

## Running Flat (modern) Pattern

Description This pattern is exactly the same as a Running Flat, except for the fact that it must retrace more than 60%, if not we consider it to be a normal Running Flat. This distinction is necessary, because normally a…

## Failed Flat Pattern

Description This pattern is exactly the same as a Flat, except for the fact that wave C does not reach the end of wave A and therefore is shorter than wave B.

## Running zigzag Pattern

Description Apart from contracting Triangles, a failure in a corrective pattern happens when the C wave is shorter than wave A and fails to go beyond the end of A. This mostly happens in Running Flats and or in Zigzags.…

## Zigzag Flat Pattern

Description It is a common pattern that is exactly the same as a Zigzag, except for the fact that the B wave is allowed to retrace more than 61.8% of wave A.