A daily chart trend filter with Elliott wave abstention

Overtrading is treated as the default error

The teaching process treats overtrading as the default beginner error. Success is defined as identifying a longer-horizon trend and remaining in that position rather than repeatedly entering and exiting.

The operational time frame is the daily chart. Instrument selection is chart-first: opportunities are checked against chart parameters, while company research and product fundamentals are not used as the decision basis.

Reducing continuous screen time is presented as improving results relative to watching markets throughout the session.

The trend filter replaces trendlines

Trendlines and Fibonacci measurements are not used. The Alligator filter is the trendline substitute and reports both the current bar and a higher-scale state of about three to five times the traded timeline.

On a 10-minute trade chart, that higher-scale filter is described as showing hourly and daily condition without opening those charts, by locating where price would be in the absence of new incoming information.

Elliott wave analysis decides when to sit out

Elliott wave analysis is used as an abstention filter. A market judged to be entering a correction or heavy congestion is passed rather than faded after a completed trend move.

The stated rationale for that abstention filter is that most losses occur during corrections, so avoiding correction trades is treated as a primary pain-reduction rule.

One approach after ordinary losses

The process requires choosing one market approach and keeping it after ordinary losing trades, because changing rules after a few losses is described as the usual way a usable method is ruined.

A first entry is often a countertrend signal that appears when a trend is judged overextended, using a bullish or bearish divergent bar or period rather than a continuation breakout.