Long term investor psychology cycles determine bull and bear markets. When positive a bull market unfolds, when negative a bear market. The Objective Elliott Wave (OEW) technique not only determines if a market is bullish or bearish, it also quantifies how far a market has progressed in its current cycle.
OEW is not textbook Elliott Wave. It is a proprietary technique that defines every single significant wave within bull or bear markets, quantitatively. With this approach one can analyze any market to define its exact historical wave structure, and then determine what this projects into the future. We have been applying this technique, successfully, for nearly thirty years.
Over the years OEW analysis has led to some important projections in just the stock market alone. We projected the 1987 top and subsequent crash, then the 1987 low. The 1990 top, the 2000 top and the 2002 low. The Oct. 2007 top (in Jan08) and the Mar. 2009 low nearly to the day. Currently it certainly looks like the stock market just topped again in May/July 2011.
OEW analysis can also be used to track other asset classes. In housing, OEW confirmed the current bear market in 2006. In bonds, OEW confirmed the current bull market in 2007. In the currency markets, OEW projected a strong rally in the USD in early 2008 after a three year decline. Then a resumption of its choppy bear market in 2009 and 2010. We’re still bullish on several foreign currencies. In early 2009 OEW projected a resumption of the ongoing 13 year bull market in commodities. This included the powerful 13 year bull markets in both Gold and Silver. OEW can be used to track any asset class, including stocks, providing there is sufficient historical data.
Bull and bear markets can last for years. Medium term uptrends and downtrends only last for months, and are often mistaken as changes in long term trends. OEW analysis not only confirms when changes in long term trends are occurring, but also allows one to track a bull or bear market as it unfolds. If you are interested in learning how to do this type of analysis yourself, and joining our private OEW group, just contact me at caldaro@msn.com for the details. Best to your trading/investing.
“The possession of knowledge, unless accompanied by the manifestation and expression in action, is like the hoarding of precious metals; a vain and foolish thing. The Law of Use is universal, and he who violates it suffers by reason of his conflict with natural forces.”
the ELLIOTT WAVE lives on 
Tony, with wave iii being 4X wave i, what does that say about the bear ahead? In 2008 crash I don’t think we ever had that type of relationship. Does this mean this decline has a higher probably of being worse? Thanks Tony!
Bob
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Hi Bob, The Sept/Oct 2008 crash had that kind of relationship.It’s not a good sign this early in the decline.But the FED has the liquidity button.
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Storms seems becoming quite now.In short term market may have found bottom for its C(iii) and it is currently in C(iv) which can go till 1220 and it might last long.Now in long term perspective market is in between two counts,one is bear market rally(B wave) since march’09 is over and we are in powerful C wave.2nd count is we are in 4th wave of bull market which started march’09,as 2nd wave was very small(june-july’09) the 4th should be big which we are getting now.
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thx Joy
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