Is the trend always your friend? It is until it finishes, but how can we tell when the trend change is happening? Most traders spend hours trying to find a way to trigger a trade against the trend and capture the cycle from the beginning. One of the most successful ways to see the end of the direction is by reading when the trend is not trending anymore. Using momentum studies is simple to see in the chart when the previous trend is switching from trending to sideways, then we can wait for a failed continuation to jump in the trade. Putting together momentum studies with Elliott Wave theory is a powerful way to understand and trade the markets.
This week we share some basics about momentum trading with Elliott Wave in live markets, watch the video, and start learning the process.