Whether horror films win Academy Awards or not, they tell an interesting story about mass psychology. Research at Elliott Wave International shows that horror films proliferate during bear markets, whereas upbeat, sweet-natured Disney movies show up during bull markets.
How Safe Is Your Bank, Really?
March 12, 2010 by Leave a Comment
So far in 2010, the number of US bank failures has reached 25, a rate of two per week. This compares to 25 total bank failures for ALL of 2008, and three for 2007. Yet — no matter how grave the data gets, few people imagine the corporate banking crisis trickling down to average Joe or Jane and their lollipop-dispensing drive-through bank tellers.
Paper Trading Is NOT What Will Teach You To Trade
March 11, 2010 by Leave a Comment
“Some people advocate ‘paper trading’ as a learning tool. Paper trading is useful for the testing of methodology, but it is of no value in learning about trading. In fact, it can be detrimental, by imbuing the novice with a false sense of security in ‘knowing’ that he has successfully paper traded the past six months, thus believing that the next six months with real money will be no different. Nothing could be further from the truth. Why?” Elliott Wave International’s president Robert Prechter explains more in this important FREE report.
Learn Elliott Wave Analysis — Free
March 5, 2010 by Leave a Comment
Successful market timing depends upon learning the patterns of crowd behavior. By anticipating the crowd, you can avoid becoming a part of it. The Wave Principle is not primarily a forecasting tool; it is a detailed description of how markets behave. The progression of mass emotions from pessimism to optimism and back again tends to follow a similar path each time around.
What Does NOT Move Markets? Examining 8 Claims of Market Efficiency
March 2, 2010 by Leave a Comment
Economists love to talk about exogenous shocks — events outside of the financial system that cause markets to move. But what if it’s just talk and not real at all?
Surviving Deflation: First, Understand It
February 26, 2010 by Leave a Comment
Deflation is more than just “falling prices.” Robert Prechter explains why. The following article is an excerpt from Elliott Wave International’s free Club EWI resource, “The Guide to Understanding Deflation. Robert Prechter’s Most Important Writings on Deflation.” The Primary Precondition of Deflation Deflation requires a precondition: a major societal buildup in the extension of credit. […]
More Credit Default Swaps Means Trouble for European Debt
February 25, 2010 by Leave a Comment
Government debt is no longer just a problem for emerging countries. Portugal, Spain, France and Greece (as we have seen in recent weeks) are living in fear of credit default. Consequently, the value of their credit default swaps is skyrocketing.
Same Day. Same Event. Same Market. Different Story!
February 23, 2010 by Leave a Comment
Elliott wave analysts sometimes hear the criticism that patterns in market charts can be “open to interpretation.” Does that happen? Absolutely. (Although, there are tools an Elliottician can always employ to firm up the wave count.) But here’s the real question: What’s the alternative? Here’s Bob Prechter’s take on it.
What Chinese Malls Tell Us about the Economic Reality
February 22, 2010 by Leave a Comment
Investor expectations are decidely bullish right now, and many people expect an economic turnaround this year. What do the underlying economic conditions suggest? The Chinese mall “The Place” demonstrates the contrast between investor hope and economic reality.
