ABC patterns
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Category: BullCharts
Forum Name: BullScan
Forum Discription: For discusssions on BullScan
URL: http://www.bullcharts.com.au/forum/forum_posts.asp?TID=567
Printed Date: 09 Jun 2026 at 8:44pm
Software Version: Web Wiz Forums 9.69 - http://www.webwizforums.com
Topic: ABC patterns
Posted By: jalna
Subject: ABC patterns
Date Posted: 22 Jun 2009 at 12:30pm
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Do you think it would be possible to write a scan on BC to find ABC patterns. This pattern being linked to Elliot Wave. I have mucked around for awhile but not been able to select any of the BC scan possibilities that worked to my satisfaction I am basically looking for a correction where the price falls, corrects up a bit then falls down again. The first fall and the second fall roughly being the same distance on a chart I have tried % swings etc. I think perhaps its not possible |
Replies:
Posted By: maximo
Date Posted: 23 Jun 2009 at 3:26am
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It would be tricky Jalna. Lets see.. you could use zig-zag indicator which uses percentages as it's swing amount. Save each previous swing amount% to say 3 variables. Awave, Bwave, Cwave. Then figure the values, parameters, comparisons that you want to scan for. If someone can post a chart with the lines on them of the wave type pattern you're looking for then I will attempt to write some code. Just flick through some charts with zig-zag set on 3-10% and post here. Actually I've been meaning to write a specialised triangle scan, so it would actually help me as well. Like /W pattern type rather than the resistance line with ascending support line. |
Posted By: jalna
Date Posted: 23 Jun 2009 at 9:33am
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HI Maximo, In a rush but WES could be making a good one at the moment if the price comes back down to $20 odd .I will try and work out how to post a chart later. Thanks for your reply. |
Posted By: maximo
Date Posted: 24 Jun 2009 at 12:19am
Okay that's a start. Just check from the image that is what you want to look for.
In theory this should be simple... ie. 2 peaks or 2 troughs of say 5-10% within
a set period. eg. last 50 bars. 3 peaks could make a head & shoulders version.
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Posted By: jalna
Date Posted: 24 Jun 2009 at 8:44am
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HI Maximo, here is a link to trading all these waves http://www.wavecounts.com/theory/advanced.asp?s=fxF7Mn09M4KL8Sl1Kp9i41TY8K49 In your chart the A-B should roughly be in proportion to length, to the C- say D Actually the waves are counted as the, A wld be where your B is and the B where the C is and end would be C ( in EW speak that is) |
Posted By: maximo
Date Posted: 24 Jun 2009 at 7:41pm
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Thanks for posting that link Jalna. I have an updated pic, half from that site and WES relabled.
Okay, it's my understanding that WES has not yet formed a valid C wave.
According to unbreakable rule 3. it cannot be the shortest.
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Posted By: jalna
Date Posted: 24 Jun 2009 at 7:57pm
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no those rules are for the waves. We are just looking at the ABC corrections within those waves. Damn all my stuff is on my MAC, not this PC. I will send myself an eamil Here is a simpler chart link http://stockcharts.com/school/doku.php?id=chart_school:market_analysis:elliott_wave_theory |
Posted By: jalna
Date Posted: 24 Jun 2009 at 8:11pm
| The ABC pattern on the WES chart is not in context of a big EW count, it was just an example of what an ABC pattern would look like ( i hasten to add ) |
Posted By: maximo
Date Posted: 25 Jun 2009 at 12:12am
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Can we define the context as being just a significant uptrend? I like to make things as simple as possible.
Here's our index at the moment. It looks elliot wave'ish or contains an ABC pattern, but is it in context?
I counted 5 waves up, but how consistent should it be?
Anyway hoping these definitions wont give me too much of a headache haha.
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Posted By: jalna
Date Posted: 25 Jun 2009 at 8:42am
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hmm yes I suppose a significant uptrend, how significant ? We often get an ABC correction at the end of wave 1 while the correction at the end of wave 3 is often more of a triangle ( wave 4 ). At the end of wave 5 we get a big ABC down. The wave 1 ABC (wave2) is a good place to get in for the long wave 3. It is complicated, I will be amazed if its possible to code any ABC patterns yes there are 5 waves up on the index, some think we are in wave 4 in the down move and others think we have completed the ABC down. It gets even more complicated with running flats and so on |
Posted By: maximo
Date Posted: 26 Jun 2009 at 2:56am
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Significant as in a valid wave C is greater than the 1st wave of 1,2,3,or with(4),or with (5), as is the case with AUS200 at the moment. Wave C has completed and may now be back to new wave A which could from another ABC in the opposing direction. Not wanting to get too complicated with this.. I'll have a go at making a basic ABC finder over the next few days. |
Posted By: jalna
Date Posted: 26 Jun 2009 at 2:46pm
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Hi maximo, this is the abc paaterns i waas talking about. Usually A and the C are the same length. I'm trying to upload a chart but not getting anywhere. I saved my chart onto desk top as a jpeg but it tells me its the wrong type when I try and upload it : ( |
Posted By: maximo
Date Posted: 28 Jun 2009 at 3:32am
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It may only allow posting of .GIF type images. Here's a freebee that converts to practically any format. http://www.irfanview.com/ - http://www.irfanview.com/
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Posted By: rbbrain
Date Posted: 01 Jul 2009 at 1:47pm
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Hi all, Of course, writing a Scan in BC is usually fairly easy if you can clearly write down the search criteria - then you just need to convert it into the scan criteria. My experience with Elliott Wave is that wave counting and determination is very subjective. And two people can easily come up with different results. That is, it is not easy to write down set criteria that would describe the price pattern we are looking for. If we could write it down, then the problem might be mostly solved. On a similar topic - I have already asked the BC staff to create one new Line Study Tool to go on the Line Studies toolbar - Elliott Wave tool - just like a zig zag line (or the existing Swing Trendline tool), but include all relevant Elliott Wave labels as optional labels. Brendon has noted this and will do one day. It will certainly help us to label our waves (unless someone already has a very neat tool to do this?) Brendon might schedule this pgming change faster if more people ask for it? Cheers ------------- Convenor - Australian BullCharts User Group http://www.RobertBrain.com - Brainy's Share Market Toolbox and BullCharts Tips [/CENTER |
Posted By: maximo
Date Posted: 01 Jul 2009 at 9:18pm
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Hiya's
I think if you go on the last 4 waves of the chart that is a start. Using zig-zag does require adjustment like many indicators. For example an ABC on AED would not be found unless you adjusted the zig-zag retracement to 20%, while many others are found when the setting is just 7%. A confirmation of a next wave up would be that percentage + Low price of wave C., though just because an indicator turns does not mean the stock will.
Anyhow I have done a chart to show what I mean. Further confirmation could be with the use of other indicators. The indicator I used is here, but not complete.. as brainy said determining waves is subjective.
[target =Price]lookback:= input("Lookback",50,50);size := input("Zig zag % change",7,0);z := zigzag(Close,size,%);ispeak := z> hist(z,1) and z>future(z,1);istrough := z< hist(z,1) and z<future(z,1);start:= barnumber > lastvalue(barnumber) - lookback;[linestyle =Solid; color=dodger blue; width=2]if (start,z,undefined);[color =Blue][linestyle =Text; textalign=Above,Center]if (isPeak and start, "Peak " + z, undefined);High ;[linestyle =Text; textalign=Below,Center]if (isTrough and start, "Trough " + z, undefined);Low ;
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Posted By: jalna
Date Posted: 02 Jul 2009 at 6:06pm
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Well done Maximo. I have tried a few runs 7% and have NUF and MPO that fit the bill and going to keep an eye on. Not that they fit into EW but have a nice ABC pattern Thanks again, heaps |