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Redmond Quain wrote:
>
> Re the following ( i.e. below **********): Are you in effect saying that
> Fibonaci ratios, where they apply to 2 neighboring waves in the same
> direction, suggest that those waves are correcton waves against the main
trend?
>
> ***********************************************
That is generally correct. However, over the last decade, perhaps because
of the popularization of Elliott Wave analysis, including software, the
majority of the popular ratios have just about disappeared and other
formulas have instead taken their place.
Considering how efficient the markets are, you would expect anything of
known value to quickly disappear or become obsolete wouldn't you?
So, as a result, Elliott wave works with PRECISION but it is always in a
state of "metamorphosis", in other words, exact ratios and formulas and
points of analysis that work this week are not the same that worked last
week and the next week's will be different as well.
My contention though is that this type of analysis only works on the Dow
and nothing else.
Carlos Lourenco
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