Markets and Elliott Wave Theory

With Mondays action and all the so called reasons for the market draw down I figure it wise to offer another perspective. I enjoyed studing Elliott Wave theory for many years and it has greatly changed my thought process regards investing/trading.  Now in the past I have done many different types of trading including Forex and day trading S&P, Naz100, R2000 index futures. I strongly believe that ALL traders/investors should have a basic understanding of EW theory, or at least be aware of long term wave count. Their are free sources. Following a monthly report on long term wave counts is a wise idea, then you don’t even need to understand EW theory. By the way are you aware that MOST Forex TA traders use or at least have a working knowledge of EW theory.

Below a repost from ragingbull BQI board to my friend Capt Jack

Yes I used Elliott Wave International (EWI) for many years. They have some great stuff. I even used their live market futures service for awhile, but this is only good for active day trading of market index future contracts. They have report that comes out 3 times a week for overall markets and this is handy for short term traders. BUT for most I would  recommend their monthly Financial Forcasts it will keep you abreast of overall markets short, mid, and long term trends.

However I found some better more cost effective sources for EW.
FREE (with daily updates, he promotes his Objective EW theory) at

http://caldaroew.spaces.live.com/

PS He puts markets in a A wave down which is EXTREME bad news for the bulls as that means a lot more sideways to down left in this NEW bear market, IE this is but the first leg down this last year.

See the monthly S&P chart

I will need to look up the other link for another EW guy who has daily reports at a good price.

The link for that is Technical Indicator Index

PS I will be doing up a penny/high risk stock trading system in the near future and will be posting free stuff at my website forex.earninternet.com

NOTE EW does not work well for penny or low cap stocks; in fact many large cap do not track EW well. EW works best for overall markets as it takes a lot more money to manipulate them so really only the PPP has short term effects to EW patterns.