I didn't read in detail yet, I just have a rapid glance at it. I will tell more this we. What I can say is that he will never discover my model by this path because mine is a microscopic model and at the moment all physician models are macroscopic and as he said in his paper since he doesn't have a microscopic model he can't know why it behaves like that.
I wrote an article of 5 pages in 1998 before the crash of that year for initiating the non-mathematical public to chaos theory and stock market , you can try to use an automatic translator but I fear the worst http://www.boursenovice.com/articles/p_1.htm So I will try to translate some passage later, but not this week (sorry don't have time at the moment). . I also suggest that you read the article of Mandelbrott published in scientific american. You can find a copy here http://www.elliottwave.com/education/SciAmerican/Mandelbrot_Article2.htm (because Prechter dispute him about the paternity of fractals in stock market ; it's because he doesn't understand the difference between science and empirism ) After that I could explain things more easily when I come back next week.
We are testing the crucial zone of 8570 on the monthly scale on my model: if Dow failed to make the break the bearish trend could resume as projected in green. <IMG SRC=http://www.elitetrader.com/vb/attachment.php?s=&postid=243277>
I say we ARE and not WILL because monthly scale is never very precised, on daily scale we have already met the TL zone (TL means Top Local, it is systematically after a BRK or Break Zone) of 8524 theorically since the real high today was 8526 within 2 points as very often (remind that it is calculated 24h in advance and that it is checkable by everybody since I post it everyday before market's opening on my site). <IMG SRC=http://www.elitetrader.com/vb/attachment.php?s=&postid=243282>
<IMG SRC=http://www.elitetrader.com/vb/attachment.php?s=&postid=243290> For the weekly scale it can bluff up to 8646 on current weekly chart (left chart - there should be a TL after the BRK like the daily scale above but it hasn't been programmed yet because it is counterclock and the algorithm is more difficult to do in Excel ) or if it is not clear on past week chart (right chart calculated every Friday so 1 week in advance)
If for the understanding of the basics you look for complexity well there isn't since there is only one single rule that couldn't be simpler : <a href=http://perso.wanadoo.fr/harrytrader/_sgt/m1m2s3_1.htm target='_blank'>http://perso.wanadoo.fr/harrytrader/_sgt/m1m2s3_1.htm</a> the legend is also useful: <a href=http://perso.wanadoo.fr/harrytrader/legend.html target='_blank'> http://perso.wanadoo.fr/harrytrader/legend.html</a> especially text of captions: - BRK: Break zone - TL: Potential top - S(+): Support / R(-): Support / Resistance belonging to a local minimum BUT If you want me rather to explain the CONCEPTION or SECRET of the model you can wait 10 or perhaps 1 hundred years that some researcher discovers the same physical equations than me because I won't reveal it to anybody except for some qualitative indications I have already given to some scientific researchers in the field ! As for the practice it is as every trading system if you don't know how to manage your trade any model will be useless. P.S.: if you want the same nuded chart as Sornette's one just suppress all captions values and the blue line and just keep the form . Nevertheless it is pretty sure not the same model: he won't be able to give you a precise projection on short term scale as I can. that's what he said and this is normal since his model is based on stochastic whereas mine is deterministic and you can't beat a deterministic model with a stochastic one fundamentally.