Technology

When it comes to predicting, forming, anticipating market predictions, Elliott wave is the one which is commonly used. Even though there are many other complementary theories and rules which also provide key tools for performing technical analysis, Elliott wave theory is the one which is highly beneficial for market predictions. This theory was developed in the 1930s by Ralph Nelson Elliott. Elliott believed and showed that there are more common structures available for markets which are different from the chaotic form used by most of the analysts. Later his cycles and waves became one among the most used and most popular methods. Through his theory, it became possible for technical analysts to view the financial markets. Elliott wave theory - Cycles and waves More than simple straight lines, psychological elements in the trading can bring in waves. These waves are the biggest features in the Elliott wave theory. This theory is highly influenced by Charles Dow’s theory as w...

Elliot theory can help you immensely in making the right market predictions because it uses crowd psychology or investor psychology. It is an advanced form of technical analysis, so some people find it a little complicated and overwhelming at times. It might not have a steep learning curve when you are learning this form of technical analysis, but it is definitely one of the best tools to forecast the market. Here you will get a brief on the Elliott Wave Theory and also the names of some of the most exciting books in the subject. These books on Elliott Wave Theory can help you understand and use it for your daily forecasting too so you can effectively start trading with this technique. Before moving on to the actual theory, you must understand the following waves: Impulse Wave: The impulse waves move in the direction of the market trend. In this phase, massive moves happen in terms of changes in prices, and they take lesser time. Hence, the trending move is very ...