With the Dow rallying since February 8, 2010, more people have been willing to dip their toes back in the equities markets. We often get the question: "Do wave patterns work with individual stocks the same as they do in aggregated stock indexes?" The answer is "Yes, but less frequently and less clearly." After all, the Wave Principle is based on herding, so the larger the herd that trades, the easier it is to see the patterns. That means that the market averages, like the Dow, the Nasdaq and the S& P 500, have the clearest wave patterns. Remember, we see the recent market move as a bear-market rally, so you may want to think about doing something other than buying and holding. In this excerpt from Prechter's Perspective, Bob Prechter explains when it's worth acting on the wave pattern in an individual stock.
http://www.elliottwave.com/freeupdates/archives/2010/03/19/Can-You-Use-the-Wave-Principle-to-Trade-Individual-Stocks.aspx
Lessons in Technical Indicators: Part 2
The Shanghai Stock Exchange Composite is China's main stock index, and Elliott Wave International's Asian-Pacific Short Term Update gives you forecasts for this index three times a week. The index also provided editor Chris Carolan an opportunity to teach his subscribers about one of the three technical indicators he uses to confirm his Elliott wave analysis - the Relative Strength Index (RSI).
http://www.elliottwave.com/freeupdates/archives/2010/03/15/Lessons-in-Technical-Indicators-Part-2.aspx
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