Ewj: elliott wave

Discussion in 'Technical Analysis' started by mu200411, Aug 13, 2007.

  1. This is a not so perfect count of Gold Chart :( .
     
    #8491     Nov 4, 2009
  2. ed

    ed

    Isn't EW all about probabilities? :)

    And probabilities means other outcomes can happen. :)

    Quoted from "Elliott Wave Principle", 20th Anniversary Edition, p87:

    Without Elliott, there appear to be an infinite number of possibilities for market action. What the Wave Principle provides is a means of first limiting the possibilities and then ordering the relative probabilities of possible future market paths. Elliott’s highly specific rules reduce the number of valid alternatives to a minimum. Among those, the best interpretation, sometimes called the “preferred count,” is the one that satisfies that largest number of guidelines. Other interpretations are ordered accordingly.

    As a result, competent analysts applying the rules and guidelines of the Wave Principle objectively should usually agree on both the list of possibilities and the order of probabilities for various possible outcomes at any particular time. That order can usually be stated with certainty. Do not assume, however, that certainty about the order of probabilities is the same as certainty about one specific outcome. Under only the rarest of circumstances do you ever know exactly what the market is going to do. You must understand and accept that even an approach that can identify high odds for a fairly specific event must be wrong some of the time.

    You can prepare yourself psychologically for such outcomes through the continual updating of the second best interpretation, sometimes called the “alternate count.” Because applying the Wave Principle is an exercise in probability, the ongoing maintenance of alternative wave counts is an essential part of using it correctly. In the event that the market violates the expected scenario, the alternate count puts the unexpected market action into perspective and immediately becomes your new preferred count. If you’re thrown by your horse, it’s useful to land right atop another.
     
    #8492     Nov 4, 2009
  3. PaulRon

    PaulRon

    The thing about EW that confuses most is the possibility of numerous counts. It's with experience that we can say which counts are more probable than others. Sometimes we get lucky and have only one possible count ($$$$$). The bullish count off the bottom for gold, although valid, seems a lot less "probable" due to the length of some of the sub-waves time wise. Counting a double zig zag off the bottom is much easier along with a triangle B-wave (very common). Commonality helps increase probability which is my reasoning for leaning toward the corrective count I posted earlier towards new lows in gold.
     
    #8493     Nov 4, 2009
  4. Yes, there is a Bradley date coming up but let's not fool ourselves . . . the Bradley has not shown a very strong correlation with any particular moves in the S&P this year.

    http://www.marketmulticycles.com/marketmulticycles9.htm

    As for Mup, he last posted on Aug. 28th.
    Not sure why he would simply be content with "reading" the thread, as opposed to posting a comment or two.

    Strange.
     
    #8494     Nov 4, 2009
  5. ammo

    ammo

    mup had some sinus/throat problems earlier this year, more than once,maybe he had some surgery,pollops ? don't want to speculate
     
    #8495     Nov 4, 2009
  6. I hope he's doing well.
    It would be nice to see him back posting again.
    :)
     
    #8496     Nov 4, 2009
  7. ed

    ed

    Hmmm... if 1046 holds in the ESZ9, then it would be a very good place for an ED to finish the upmove...... :)
     
    #8497     Nov 4, 2009
  8. PaulRon

    PaulRon

    IMO the a-b-c move up off the lows from this week is done and the downtrend should resume
     
    #8498     Nov 4, 2009
  9. ed

    ed

    Yes PaulRon, I was having that thought too. Would have to take a closer look at the charts again. :)
     
    #8499     Nov 4, 2009
  10. PaulRon

    PaulRon

    case for a top in euro

    <img src="http://www.elitetrader.com/vb/attachment.php?s=&postid=2629482">
     
    #8500     Nov 5, 2009