ANSWER:

At risk of comparing market action to the “Theory of Relativity,” the answer to your question is dependent on the technical expertise of the observer. There is the “visual appearance” of a market top and then the “structural, technical reality” of a market top. 

Visually speaking, from the lay-person’s perspective, a market can “look” as if it tops slowly or quickly, that it is followed by a violent reversal right off the highs or it slowly “falls off” the highs in a bowl-shaped fashion. 

Technically speaking, from a NEoWave perspective, patterns don’t always conclude at the high or low of a trend – they can finish “below highs” and “above lows.” When a market ends a psychological Wave pattern below a high, it may slowly top and not produce a violent decline right off the highs. But, if you begin your assessment of the “new trend” from the actual conclusion of the old trend, then YES “all major tops complete with a violent reversal.”

ANSWER:

What you stated was correct for the first 60 years of Elliott Wave history and was the reason I developed NEoWave. To be truly useful and accurate, Elliott Wave needed substantial upgrading and refining. Most of all, it lacked a comprehensive, rigid, logical foundation. If wave theory is to have ANY validity, its rules must give the practitioner the ability to produce a single wave count and forecast that can be replicated by others. 

In my book Mastering Elliott Wave (in hind sight I should have called it Mastering NEoWave), I address this long-standing problem of Elliott Wave. My book adds so many additional rules and concepts to the wave analysis process that it elevates it out of the realm of supposition and into the realm of science. The three most important concepts of NEoWave, which help to accomplish this goal, are:

1- Logic (a strong correction must produce a future, strong move),

2- Self-defining (a smaller pattern cannot take more price and time than a larger pattern),

3- Self-confirming (strict requirements for post-pattern market behavior determine whether your prior structural analysis was correct – in other words, you do not decided if your analysis is correct, NEoWave RULES help you grade your assessments).

Without these rigid, logical NEoWave rules, analytical chaos ensues creating an environment where every wave analyst has a different count and opinion. With the addition of the above rules to orthodox Elliott Wave, you get NEoWave (that is, a “new” wave theory), which makes it possible to produce wave counts that stand the test of time. For example, in the back of my book Mastering Elliott Wave, there is a wave count projecting the future course of the U.S. stock market for 75 years (that forecast has been accurate for 23 years and still has 52 years to go)!

ANSWER:

This is a great question sent in by a customer in Bahrain. It took me a long time to find a reliable, cash data source that allows me to copy and paste values into Excel, which then is used to draw ALL the charts you see in all NEoWave Trading and Forecasting services.

The service I recommend is BarChart.com which costs about $20/month. The symbols I use to get the cash data for the markets I follow are…

S&P – $INX

Notes – V2Y0 (who knows what that is supposed to stand for)

Gold – GCY0

Euro – ECY0

You can sign up for this service at www.barchart.com 

I don’t get anything out of recommending this service, but tell them NEoWave sent you, anyway.

ANSWER:

At risk of comparing market action to the “Theory of Relativity,” the answer to your question is dependent on the technical expertise of the observer. There is the “visual appearance” of a market top and then the “structural, technical reality” of a market top. 

Visually speaking, from the lay-person’s perspective, a market can “look” as if it tops slowly or quickly, that it is followed by a violent reversal right off the highs or it slowly “falls off” the highs in a bowl-shaped fashion. 

Technically speaking, from a NEoWave perspective, patterns don’t always conclude at the high or low of a trend – they can finish “below highs” and “above lows.” When a market ends a psychological Wave pattern below a high, it may slowly top and not produce a violent decline right off the highs. But, if you begin your assessment of the “new trend” from the actual conclusion of the old trend, then YES “all major tops complete with a violent reversal.”

ANSWER:

What you stated was correct for the first 60 years of Elliott Wave history and was the reason I developed NEoWave. To be truly useful and accurate, Elliott Wave needed substantial upgrading and refining. Most of all, it lacked a comprehensive, rigid, logical foundation. If wave theory is to have ANY validity, its rules must give the practitioner the ability to produce a single wave count and forecast that can be replicated by others. 

In my book Mastering Elliott Wave (in hind sight I should have called it Mastering NEoWave), I address this long-standing problem of Elliott Wave. My book adds so many additional rules and concepts to the wave analysis process that it elevates it out of the realm of supposition and into the realm of science. The three most important concepts of NEoWave, which help to accomplish this goal, are:

1- Logic (a strong correction must produce a future, strong move),

2- Self-defining (a smaller pattern cannot take more price and time than a larger pattern),

3- Self-confirming (strict requirements for post-pattern market behavior determine whether your prior structural analysis was correct – in other words, you do not decided if your analysis is correct, NEoWave RULES help you grade your assessments).

Without these rigid, logical NEoWave rules, analytical chaos ensues creating an environment where every wave analyst has a different count and opinion. With the addition of the above rules to orthodox Elliott Wave, you get NEoWave (that is, a “new” wave theory), which makes it possible to produce wave counts that stand the test of time. For example, in the back of my book Mastering Elliott Wave, there is a wave count projecting the future course of the U.S. stock market for 75 years (that forecast has been accurate for 23 years and still has 52 years to go)!

ANSWER:

This is a great question sent in by a customer in Bahrain. It took me a long time to find a reliable, cash data source that allows me to copy and paste values into Excel, which then is used to draw ALL the charts you see in all NEoWave Trading and Forecasting services.

The service I recommend is BarChart.com which costs about $20/month. The symbols I use to get the cash data for the markets I follow are…

S&P – $INX

Notes – V2Y0 (who knows what that is supposed to stand for)

Gold – GCY0

Euro – ECY0

You can sign up for this service at www.barchart.com 

I don’t get anything out of recommending this service, but tell them NEoWave sent you, anyway.