|
PureBytes Links
Trading Reference Links
|
John - Elliott can and does work in all time frames in my opinion. Five
wave patterns are normal. Even in a three wave correction, if it is an
a-b-c zig-zag, the a-wave and c-wave should be in five waves, so if the
short term direction is down, then you should see fivers going down. For
that matter, if the b-wave breaks down into an a-b-c zig-zag going up,
the first and third waves of the b-wave will be five wave moves too.
Confused yet?
Good luck!
Steve Poser
John Stevenson wrote:
>
> RTers:
> I would like you all to know that I greatly value the opportunity to
> "listen in" on the various comments and opinions expressed via the RT
> Disscussion group. As a relative newbie to trading (I've been intensely
> observing Mkts for about 2 yrs., and actively position trading for about 9
> months), I can say that this group has been invaluable to me as a "mentor"
> (of sorts), as one of many sources of wide ranging opinion, and as an
> encouragement to begin wading into the ocean of TA. To wit: I recently
> began the online Elliot Wave course at EW International. It's surely too
> early yet for me to embark on my own analysis from scratch, but my efforts
> are starting to bear a little fruit, I think...when I looked at the daily
> chart for last friday, it looked to me like an example right off the text
> page of a classic 5 wave pattern, except (importantly?) the pattern was
> moving down instead of up, ie: lower lows and lower highs.
>
> My questions to the group are:
>
> 1. Granted the the Ewave is fractal in nature, but is it meaningful to look
> at patterns as short as one day?
>
> 2. If the observation is valid, could it be yet another indication that the
> fundamental psycology of the market has undergone a sea change?
>
> In any case, today's DJIA price action would seem to indicate that the "buy
> on the dips" crowd is conspicuously absent from the mkt. this time around.
>
> For what it's worth, this looks, to my novice eye, like a RE-EMERGENCE of a
> lower low-lower high trend that appeared briefly in (about) 11/97 or 12/97
> (I'm working from memory), which I believe has been this markets true
> character all along. That trend has been distorted by the tsunami of cash
> we have seen in what I like to call the "Hyper-liquidity" mkt of recent
> months. Is it possible that that's where the true support is (ie: ~7500 and
> not 8200 or 8500 as I've heard stated here and elsewhere)?
>
> Well, food for thought perhaps, but it seems to me a high probability that
> the time where pyramid shorting becomes a sensible strategy is just around
> the next corner on the DJIA. Definitely time for eyes and ears to be wide
> open, always time for caution.
>
> Kudos to those who called for a top in July 24-28 timeframe, looks like you
> MAY be right! Keep up the fine work, RTers, I for one need your input!
>
> John Stevenson
> Ottawa, Canada
>
> P.S. I hereby pledge NEVER to delve into the political arena on the RT
> Group again!
|