DarkElite
2008-Apr-12, 12:41 AM
It apepars most people on this board are traders.
What do you think about the American market and about the following graph?
http://www3.picfront.org/picture/O3lpsUX3/img/thenextwavedown.png (http://www.friendlytraders.com/forum/redirector.php?url=http%3A%2F%2Fwww.picfront.org%2Fd%2FO3lpsUX3%2Fthenextwavedown.png)
And how about this graph:
http://www3.picfront.org/picture/VbHrJVg2K/img/ew1.jpg (http://www.friendlytraders.com/forum/redirector.php?url=http%3A%2F%2Fwww.picfront.org%2Fd%2FVbHrJVg2K%2Few1.jpg)
Read about Elliott Wave Theory:
Elliott Wave Theory interprets market actions in terms of recurrent price structures. Basically, Market cycles are composed of two major types of Wave : Impulse Wave and Corrective Wave. For every impulse wave, it can be sub-divided into 5 - wave structure (1-2-3-4-5), while for corrective wave, it can be sub-divided into 3 - wave structures (a-b-c).
Normal citizens (investors) only know how to buy. We know how to sell (short) too. They will try to catch each bottom and getting disappointed... until they get fooled enough and are too scared to try again.
There will be very few stock candidates or sectors which can beat the market so why play against the trend. It's hard to know which is the true bottom. Therefore it's important to follow the trend since you have a much higher winning percentage. Trade with the trend and short the market. ;)
What do you think about the American market and about the following graph?
http://www3.picfront.org/picture/O3lpsUX3/img/thenextwavedown.png (http://www.friendlytraders.com/forum/redirector.php?url=http%3A%2F%2Fwww.picfront.org%2Fd%2FO3lpsUX3%2Fthenextwavedown.png)
And how about this graph:
http://www3.picfront.org/picture/VbHrJVg2K/img/ew1.jpg (http://www.friendlytraders.com/forum/redirector.php?url=http%3A%2F%2Fwww.picfront.org%2Fd%2FVbHrJVg2K%2Few1.jpg)
Read about Elliott Wave Theory:
Elliott Wave Theory interprets market actions in terms of recurrent price structures. Basically, Market cycles are composed of two major types of Wave : Impulse Wave and Corrective Wave. For every impulse wave, it can be sub-divided into 5 - wave structure (1-2-3-4-5), while for corrective wave, it can be sub-divided into 3 - wave structures (a-b-c).
Normal citizens (investors) only know how to buy. We know how to sell (short) too. They will try to catch each bottom and getting disappointed... until they get fooled enough and are too scared to try again.
There will be very few stock candidates or sectors which can beat the market so why play against the trend. It's hard to know which is the true bottom. Therefore it's important to follow the trend since you have a much higher winning percentage. Trade with the trend and short the market. ;)