Reply To: Practical Exercise #3
Hi Ryszard, I think with your countertrend lines you’d need to pick up an intermediate high/low as the second connecting point rather than using the highs/lows of the daily bars themselves.
You were spot on with your thinking in AUDUSD – 2 major lines works well. I’ve drawn them in green and I’ve also added an example of how to think about the countertrend lines. See the blue line and the circled connecting points.