I believe the Zig-Zag indicators best use would be to measure the percentages between each "drawn line change" to try and predict the wavelength of the symbol being tracked. ES
Imagine if you had an indicator that did call the tops and bottoms. Would you keep it a secret or sell it for a monthly subscription? Would companies like Goldman Sachs not offer you millions of dollars for it? I don't believe such an indicator exist, but if it did, you wouldn't have your hands on it. Not for less than 100 million or so.
Indicators don't call anything, the trader makes the call, Indicators just indicate what they are being asked to measure.
there is a reason that einstien did not own the world - solving the problem is everything, not money. The Extraordinary Genius of Albert Einstein - Full Documentary HD many have solved the problem but big houses make their money via what they know - the insider network. they all have a firmly held belief no one has the answer so they don't even look. it could hit them in the face and they would never understand neither accept. those that have solved the problem have their reward in their mind vault. in this age a few pieces here and there and pandora is loose. the fear of that alone makes poverty tolerable.
My picture isn't my indicator, I took it from fibozachi.com. I have no idea what they are doing for it.
Prettiest such indicator i ever saw is called TTM Scalper Alert, and on a static chart, you'd think it was the holy grail. Trouble is, the alert signal appears 2 to 6 bars back on the chart, usually 4 or 5 one minute bars back. If trending hard, you might get a 2 bar signal. Otherwise, if you buy / sell on those signals, too often you get in and out too late. Sure looks nice afterwards.
There is no technical indicator that consistently picks tops and bottoms. Especially the wave count software and the oscillators.
Those that don't change the painted dots are lagging for sure, and they will be painted after a few bars, and most of the time it is already too late to enter or exit the trades. Don't take my words for it, try them all out on demo (there are many of them, some are free). But there are better systems than those paint dots out there, if you try hard to search around. But again, the best systems won't be in the open public to be purchased by any significant amount of money even for a couple millions; and if someone is smart enough to figure out something close to the Holy Grail, he won't be dump enough to spill the beans or that stupid to market it for a few bucks.