Multiple 3-C Counts

The principle of 3-C provides Goodman traders with built-in T/Ps. If the Propagation 3 swing of your setup follows a 1-2-3 laydown or is itself part of a smaller nest PTS, you have multiple unders and overs to draw using the Quick 3-C technique. See Figure below.

[caption id="attachment_13249" align="alignleft" width="370"]Multiple 3-C Counts Multiple 3-C Counts[/caption]

Tip: Although Goodman Wave Theory strongly discourages the terms, where multiple counts overlap are strong support and resistance points.

This is a nice technique that can be used independently of Goodman Wave Theory. Use it with any other trading method—especially those that do use support and resistance, such as classical bar chart interpretation.

By Michael Duane Archer
Michael Duane Archer has been an active futures and FOREX trader for more than 35 years. He has worked in various advisory capacities, notably as a commodity trading advisor, registered SEC investment advisor, and branch manager for Heinold of Hawaii. He currently trades FOREX and futures and is involved in several technical analysis research projects.

Copyrighted 2016. Content published with author's permission.

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