The support forum is built with (1) General and FAQ forums for common trading queries received from aspiring and experienced traders, and (2) forums for course video topics. How to Trade Price Action and How to Trade Forex Price Action videos are consolidated into common forums.
Brooks Trading Course social media communities
Hi there
I'm working my way through some old charts on the Encyclopedia archives, and the charts are filled with Wedges that seem to pick out 3 very small pushes, at least on this TF.
I'm trying to find a reason why some of these have been picked out, e.g. the two in the middle of this chart are a good example (dotted Pink lines) of my confusion.
Take the 1st one of the two, ended in a 20 Gap Bar Buy.
It starts at a push that's very small on this TF, then passes THROUGH a parabolic push, to another push on the other side of that.
Given wedges are meant to have 3 evenly-spaced, distinct legs... how can this be a Wedge?
If that's a Wedge, feels like I can go and call almost anything a Wedge?
Any help would be appreciated!
Thank you
Here are another 2 examples I've copied over from the Encylopedia Archives onto a clean chart, with my questions.
Confusion reigns with Wedges...
Thanks, yes I remember that indeed, but even with that in mind I still have those questions. Did you see my 2nd message above, with the cleaner chart?
In a nutshell, I see 2 pushes not 3 for both those wedges.
What do you think?
My take at wedges 🤔
Hi mike,
1.
Ok, so I take this to mean... Wedges are everywhere and can be drawn in different ways.
However, the closer to being a stereotypical Wedge they are, then the more Computers see them and the more likely to reverse? Otherwise, you might not even see a Reversal if there's not many traders looking at that Wedge.
So then you use Wedges as a means to an end? Are you looking for a Reversal in your current Context? If so you're looking for reasons to enter a reversal trade, and you can see any sort of Wedge that's a good enough reason (in the right context) regardless how perfect it looks?
2.
Also in your last image... you said "strongest bar" which one worked out, and what do you mean by strongest bar? Just trying to be clear with what I am picking up.
Thanks
Noah
1. There are areas when prices might attempt to reverse (extremes tests, legs in trading range, open session traps, etc.)
2. Yeah, have a look at three scenarios from above, there are three wedges the last one had the strongest response (not so much for the follow through)
Hi w - yes, that slide chimes with what I'm rereading on the course... small / bad wedges won't play out, even though you can see them?
Hi mike - here's my novice reading of things (having re-visited my notes on Video 24C): Wedge 1 is a bull bar - bear bar - bull bar - .... micro wedge, ie. a normal wedge on a lower TF, and thus only produces a reversal on our TF if it's Nested within 3rd push of another Wedge? Perhaps the 2 strong bull bars after it's 3rd push were a reversal on the TF relevant to that Micro Wedge? Looking at Wedge 2 vs. 3: is Wedge 3 nested in Wedge 2's 3rd push?
Thanks
Wedges represent three attempts to move prices in the same direction. The third attempt aims to trap counter-trend traders on the wrong side. When we observe wedges, we analyze who might be getting caught.
OK - does that mean something you're trying to get across to me, in the context of your 3 wedges example? I don't get what you're trying to tell me here.
Given wedges are meant to have 3 evenly-spaced, distinct legs... how can this be a Wedge?
Would add to this assumption that 2 out of 3 legs have to be more or less with same size, this should make it easier for you to accept the 2 examples which you mentioned at the beginning of your post. The 2 out of 3 can of course have a different order in each W.
What's more important is that they are 3 attempts to one side like Mike already wrote.
