Impulse-Wave Momentum Framework

Family: trend_following · Regime: trending · Complexity: high · Asset classes: Equities, Crypto-Majors, FX-Majors · Timeframes: 15m, 1h, 4h

Thesis

Market participants exhibit herd behavior during Elliott 'Wave 3' phases. This edge exists because Wave 3 represents the point of highest conviction; by using Heikin-Ashi to filter noise and MACD to confirm the momentum kick-off, we enter the trend with the highest probability of continuation before institutional exhaustion levels (Trepidity Extensions) are reached.

Components

• Elliott Wave [LuxAlgo] (regime) — Identifies a Wave 3 or Wave 5 state to ensure we are trading impulsive market phases rather than corrective noise.
• Heikin-Ashi Candles (direction) — Used as a directional bias (Body Color) to filter out counter-trend noise during the impulsive wave.
• MACD (entry) — Captures the momentum kick-off within the identified wave/trend alignment.
• Trepidity Opening Range with Extensions (exit) — Provides institutional price targets (Extensions) to capture trend exhaustive points.
• PiPi (Price Infrastructure & Position Interface) (risk) — Utilizes structural Fib Levels and Level Ranges to define precise invalidation points and risk zones.
• Heikin Ashi (confirmation) — Requires 3 consecutive candles in direction to prevent premature entry on single-bar noise.
• ALMA with Floating Levels (volatility_filter) — Filters out entries when price is over-extended relative to historical Gaussian-weighted volatility levels.

Known failure conditions

• Elliott Wave labels frequently re-calculate on new price extremes, causing signal disappearance.
• MACD crossovers occurring above/below the ALMA floating exhaustion levels (overbought/oversold).
• Price failing to hold the PiPi 'Level Middle' after entry.

Explore the full interactive blueprint with parameter ranges and evidence on WOBR StrategyVerse, or generate this strategy as an MT4/MT5 Expert Advisor with QuantMogul AI Engine (free download).