medium · Elliott Wave Theory
A market rallies from 1.2000 to 1.2500 (Wave 1), corrects to 1.2200 (Wave 2), and then explodes to 1.3300 in a Wave 3.
If an analyst observes the MACD histogram peak at the 1.3300 high, what should they watch for during the next price high?
- Volume climbing above the average pace seen in Wave 3.
- A price new high accompanied by a lower MACD histogram peak.
- The MACD line dropping below the zero line almost right away.
- The MACD histogram carving out a significantly higher peak reading.
Sign up free to see the explanation and track your rank →
More Elliott Wave Theory practice
- In a five-wave advance, Wave 1 is 10 points long, Wave 3 is… — How should this count be co
- A commodity price moves from $80 to $96, pullbacks to $88, t… — If an analyst identifies t
- Which is more likely?
- According to the Swing Count Validation technique, what should the trader conclude?
- Based on common Fibonacci relationships, how far might Wave C drop from the end of Wave B?
- An analyst sees a 'Close-Below-Prior-Swing Test' fire when p… — What does this likely sign
- According to the 'Fourth-Wave Target Zone' guideline, where is a correction most likely to
- According to the Guideline of Alternation, what should you expect for Wave 4?