Five Benefits of Using the Elliott Wave Principle to Make Decisions
By Elliott Wave International While everyone searches for the Holy Grail of forecasting, which does not exist, there is one method of analysis that stands apart from the slew of momentum-based indicators, all of which by definition lag the market. The Elliott Wave Principle is based on the concept that crowd behavior is patterned and that these patterns are easily discerned in the prices of freely traded markets. This alone sets it apart in the world of technical analysis. 1. Identifies Dominant Trend in Any Timeframe The Wave Principle identifies the direction of the dominant trend in any timeframe. A five-wave advance on a daily chart identifies the dominant trend as up on a daily basis. Looking at the same instrument on an hourly chart might reveal that the dominant trend on an hourly basis is down within the larger daily chart timeframe. 2. Identifies a Countertrend Move The Wave Principle also identifies countertrend moves. The three-wave pattern is a corrective … [Read More...]
Gold Prices: The calm before a record run
Gold’s three-month implied volatility has declined to its lowest level in over four years. While low volatility is not a short term timing tool, low volatility eventually precedes high volatility. At the same time, total open interest in gold futures has declined to its lowest level since December 2018, as traders are either closing futures contracts or abstaining from opening new ones. The low level of open interest means that investors’ attention is turning away from gold, and the low implied volatility indicates that investors do not expect gold to move much over the course of the next three months. Both are preludes to what we see as a major move forming in gold prices.
This Trend Will Likely Soon Rock the U.S. Financial System
Nearly everyone who buys groceries, fills their car tank with gas, pays rent, buys car insurance and so on is talking about the high cost of living. And it’s true that consumer price inflation is higher today than before the pandemic – although, it’s nowhere near as high as it was two years ago, when the annual inflation rate spiked to a 40-year peak of 9.1%.
Elliott Wave Analysis of Bitcoin
Today we have an in-depth Elliott Wave analysis of the Bitcoin Chart from Crypto Unplugged.
This excellent analysis looks at several ways to determine a potential top for Bitcoin and where we currently are in the cycle. The First analysis uses channels and Fibonacci Time Pivots.
Gold: Setting Near-Term Price Targets
Our "initial upside target" -- has now been exceeded. What's next? By Elliott Wave International Around the first week of the year, the outlook for gold was not looking promising, at least according to this Jan. 5 headline (Reuters): Gold set for … [Read More...]
Bob Prechter on the Rich Dad Radio Show
"Are stocks REALLY overvalued?" -- "Are interest rates REALLY going to fall?" -- "Who's going to win the White House in November, Biden or Trump?" -- "What are SAFEST ways to invest right now?" These are the types of questions investors are … [Read More...]
U.S. Real Estate: A 24% Problem
When houses are bought and sold as shelter, prices tend to be relatively stable. Yet, when houses are treated like speculative items, booms and busts become much more likely. ~ Tim McMahon, editor U.S. Real Estate: A 24% Problem "...24% of U.S. … [Read More...]
Update on China’s Big Housing Bust
China's housing bust has been in the news for a while now, so you might be wondering if their "command economy" has solved this problem yet. The mainstream media seems to be willing to give China a "Pass" and ignore the problem but by looking at … [Read More...]
