Day four.
QUESTION 10: – ” What is the main essence, combining the wave and volume analysis? What you can suggest to beginners in the study of volume analysis and the wave theory?”
ANSWER 10: – “Remember that the Wave Theory is a compass and sentiments of a market! At the same time, volume analysis is the concreteness of what is happening in the frame of market sentiment.
For all the Elliotte wave specialistst, we wish to take into account market multivariate, more wave layouts, trade only in impulses, but if you were in correction, in any case, do not trade against the trend and remember the second rule of thermodynamics, which states that as the flow of time,
confusion and chaos are increased. However, we would like to note, whatever the regressive correction you can see; in any situation it will be broken in favor of the main trend. For all volume professionals, we wish to know only formula “E = M (C ^ 2)! If there is energy, a weight exists also.
Of course, knowing the mass and energy can be approximated momentum and kinetic energy of the object.
To sum up, if you have a bar with a specific quantitative mass and volume, you can calculate its frequency and level of energy, respectively momentum and wavelength. ”
We wish all of you successful trades and profits!
Sincerely yours, Traders team “Powerful Traders”