By Joseph Russo
ElliottWaveTechnology.com
6/8/2008
Two Sides to Every Argument:
From an Elliott Wave perspective, one can argue with good cause, that
the Dow Jones Industrials are en-route toward retesting the depths of
their 2002 bear market lows. The magnification of weekly closes from the
October 2007 top, display a textbook series of impulsive declines at
three degrees of trend. Case closed:
Objection:
Bullish perspectives also remain plausible. The bullish argument, backed
by 34-years of stunning accomplishment from the depths of their 1974
bear market lows, the Industrials show no sign of structural breach at
their largest degrees of trend - at least not in nominal terms. Case
closed:
The Grand Jury at Super-Cycle
Degree Denied this Hearing:
The argument as to which wave structures prove to be correct is
irrelevant. What is relevant is the fact that such possibilities exist.
Given that guidelines to these distinct structures are identifiable, the
means by which one respects their evolving message is of utmost
relevance and practical utility.
Two Sides to Every Trade:
Elliott Waves are on neither side
of any trade, tactical market orders are. As we attempted to convey in
Strategic Command and Control, wave-counts play a minor role in
executing trade and investment strategy. What govern successful
strategies are respected disciplines together with tactical deployment
of speculative capital that responds to real-time price action
regardless of ancillary wave guidance. Wave counts serve only as a
general guide in monitoring which outcome currently has the upper hand
Wave Counts and Trading:
The take-away is this: Although exquisite and impressive in both
hindsight and real-time, Elliott Wave analysis serves only in providing
forward vision to several plausible paths the market will take in its
dynamic evolution, especially at the largest degrees of trend. By
effectively monitoring guidance systems of this profound nature, one can
then begin to develop investment and speculative strategies to profit
smartly from the vast array of endless possibilities the wave structures
will inevitably adopt. Defined clearly, strategy-specific rules of
engagement together with accurate wave guidance will soon have one
trading like a Spartan Warrior.
Come spend the summer with
Elliott Wave Technology…
…And you may never again trade the indices without us-
The express focus of Elliott Wave
Technology’s charting and forecasting services is to keenly observe,
monitor, and anticipate the future course of broad market indices over
the short, intermediate, and long-term.
Each broad data-set under study,
whether an intraday 10-minute price chart, or a yearly bar chart
spanning hundreds of years, is assessed by its current and historical
face-value regardless of composition changes, or underlying currency
dynamics.
We vigorously observe standard
charting protocol, in concert with classic application and adherence to
the exceptionally accurate navigational benefits provided by the proper
application and classic tenets of Elliott Wave Theory.
Although Elliott Wave Theory is
by no means a trading system, it is the best tool - bar-none, from which
to anticipate future price direction most accurately across all time
horizons.
Should one have interest in
acquiring access to our long-term technical analysis and/or utilizing
our proprietary short-term market landscapes, we invite you to visit our
web site for more information. For immediate access to our broad market
coverage in all time-horizons, one may subscribe directly to the Near
Term Outlook.
One last thing to remember, never
fight the Fed nor trust them either.
