The Measuring Leg

The concept of a Measuring leg in the World of 4H is simple. It is a 12-sample Low or High RSI2 read, that does not fit the pattern.

Once the measuring leg is printed, you should have ample time (3-10x 4hours on avg) to set up your low risk entry.

If you have downloaded my Skid Rock, you would have the low risk levels themselves plotted already. I synced up the strips with Skid Rock’s Teal and Violet plots to further ease the thinking. There is only one more thing to be taken into consideration, and that is the single most crucial piece of information that can aid anyone’s trading. This is of course the answer to “Which Wave the price is in currently”?

To get good at this there are 2 images at the bottom for starters.

EUR544

if (Period()==240 && RSI2[i]8){ LowBuffer[i]=8; HighBuffer[i]=92; }
if (Period()==240 && RSI2[i]>92 && RSI2[ArrayMaximum(RSI2,12,i+1)]<92){ LowBuffer2[i]=8; HighBuffer2[i]=92; }

_divergencepetr_s6

I have the oval plots (end of wave signals) now good enough do make proper counts with, at least on the long side. A Wave 4 can be a Shot over the bow, thus that particular measuring leg is not part of the count, merely part of the reversal. capeesh?

EUR542

EUR543