Question of the Week: 7/21/2010
Recently, the wave structure in your Forecasting service was different than that in your Trading Service. Why?
Each NEoWave service is on a different release schedule. When I work on a new update, I'm using the latest data available, which will be different from the data used the prior day or prior week. For example, the Forecasting service is released Monday mornings; two days later, Trading updates are released. The new data available on Wednesday might alter - or force me to change - past wave structure and expectations, possibly causing Monday's Forecasting service to be out-of-sync with Wednesday's Trading service.
Another reason two chart's may not agree "structurally" is due to the simplification of data that occurs as you move from a smaller to a larger time frame. The high/low data used to create Weekly charts is approximately 1/5 as complex as the high/low data used to create Daily charts. With a reduction in complexity comes a simplification of wave structure. That simplification frequently produces a different perspective on "reality" than the more detailed data series. As a result, the wave count on a Weekly chart may not exactly match or coordinate with the wave count of a Daily chart of the same market, even if both charts are updated and analyzed the same day.
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