Cycles are a tool and should not be used to the exclusion of other tools. There is always the possibility (high probability long term) that the data will be misinterpreted or a relevant fact over looked. So use cycles to check your analysis, not as the only reason to make a decision. Interpretation is the opinion of the author and may be incorrect and should be viewed in that light.
Monday, March 5, 2012
03-06-2012 Cycles and Elliot Waves
Elliot Waves are a methodology of tracking cycles. I find it tedious with lots of rules and exceptions. But here Elliot Wave in theory as applied to the growth (inventory or Kitchin cycle and its sub cycles):
OK, that is the theory. May not be a perfect fractal as I interpret the Kitchin being divided into 9 Wall cycles. Still I check EW sites from time to time to verify my analysis. I am not an EW analyst, but here is the latest EW counts according to my understanding:
Hope - this enlightens. I feel cycles and Elliot Waves are two different approaches to extract the same information. I believe cycles are the simpler approach.