Objective Elliott Wave (OEW) quantifies the long term and medium term trends. Long term uptrends suggest bull markets, and long term downtrends bear markets. To qualify as a long term bull market the medium term uptrends must be impulse waves, and the complete structure should end with five significant waves up. Everything else is a bear market (long term downtrend), or a bear market rally.
Long term trends can last from months to years, and medium term trends can last from weeks to months. The medium term trends define the waves within the long term trend. These are all quantified waves and what makes OEW different from EW.
Since confirmation of medium term trends often lag the market after important reversals. We use a series of technical indicators to help us identify these reversal points. Aiming to anticipate the medium term trend confirmations ahead of time.
As a bull or bear market unfolds we do our best to label these larger wave structures using technical indicators and the wave patterns they are creating. Since bull and bear markets can extend or truncate, the wave labeling can not be quantified in advance. Most bull and bear markets are not too complicated, short in years, and the most obvious count usually works quite well. However, when they begin to extend in time, beyond the normal 2, 3 or 5 years, wave labeling can become quite complicated. For example, the third wave of the 1987-2000 bull market (1990-1998) was quite complicated.
Our goal of providing this information is to offer investors a probable roadmap of bull and bears markets as they unfold. We do not offer trade recommendations, nor suggest people should trade on the information provided. We do suggest that one uses this information, if so desired, to complement their own trading/investing strategies. Nothing is perfect, nor guaranteed. We are working with probabilities, not certainties. Oftentimes the market unfolds as expected. Sometimes it does not. When it does not, we take the time to examine what went wrong with our labeling, and try our best to get back on track with the market. The market leads we are just the observers. Our motto is: Project, Monitor and Adjust when necessary.
We are now in our tenth year of publishing this blog. And the daily, weekly, monthly visitations and views keep rising. So we must be doing something right. However, when we are in error, we get several regular solicitors and some disgruntled posters in the comment section. Do not let these advertisements and verbal attacks distract you from your investing experience. Over the years we have found it best to just ignore them, and they will eventually go away. When they become a nuisance they unfortunately have to be blocked. This has only occurred in a handful of instances over the years. Generally commenters are quite pleasant, and in fact try to help each other on the blog. Last year, around this time in fact, we posted some comments about participating in the blog. We wish to repeat them here again.
We have a really good group of professional traders here.
In an attempt to keep this blog going in a positive fashion: helping others.
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If they continue, their IP address will then be blocked.
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If we all monitor the comments it will be a better place to share ideas. And please limit your posts to three a day. thank you!
Good luck, and good investing!