Elliot Wave Street Volume Profile Plus Elliot Wafer Blocks - Part One

Introduction

• Technique useful for any market or time frame
• Combines Volume Profile with Elliot Wave and Order Blocks
• Plan for tonight: Volume Profile; Combining Volume Profile with Elliot Wave; Presenting Elliot Wave Blocks
• Tomorrow's class: More examples and applications
• Video recording will be available on the YouTube channel and for Elliot Wave Street members

Volume Profile

Concept

• Derived from Gauss Bell: a tool to organize data
• Indicates where most data is concentrated (average)
• Example: Ice cream sales, student grades, housing market
• Importance of understanding the average (fair price) and deviations

Application in Trading

• Fair price helps gauge when to buy or sell an asset
• Trading below fair price = buying cheap
• Trading above fair price = selling expensive
• Key components:
  • Point of Control (POC): Level where price spent the most time
  • Value Area: The 70% area around the POC
• Seek trades far from POC for better profitability

Volume Profile in Charts

• Example with the S&P 500
• Use of Volume Profile on different legs/cycles
• Importance of understanding fair value for better trade entries
• Profile tools do not predict future, but aid in making informed decisions

Elliot Wave Blocks

Concept

• Based on recognizing Order Blocks (large institutional orders)
• Institutions trade in chunks to avoid moving the market drastically
• Order blocks help predict areas of significant market activity

Application in Elliot Wave Theory

• Identifying key order blocks during market cycles
• Combining Volume Profile and Order Blocks with Elliot Wave
• Objective approach to trading with fewer subjective decisions

Practical Examples

• Identifying and drawing Elliot Wave Blocks on given market cycles
• Examples on different time frames (daily, 1-minute chart, etc.)
• Evaluating market reactions to these blocks for trade decisions

Conclusion

• Technical analysis tools (like Volume Profile and Order Blocks) to understand present, not predict future
• Combining these tools provides a structured approach to trading
• Upcoming classes for further deep dives into this strategy

Next Steps

• More practice with live market examples in subsequent sessions
• Recording and additional lessons available for members on Elliot Wave Street
• Encouragement to join the membership for daily market analysis and in-depth education