What Does a Fractal Look Like?

What Does a Fractal Look Like? And What Does It Have to Do with the Stock Market? By Elliott Wave International Although Ralph N. Elliott came to his conclusions 50 years before the new science of fractals blossomed, he took a step that current observers of natural processes have yet to take. He explained not only that the progress of the market was fractal in nature but discovered and described the component patterns. Find out more about the stock market and fractals in this excerpt. Read more.

Nasdaq corrective pattern seems to be done

Wednesday, August 19, 2009


Hello there.
Let's talk about irregular correction ABC's. An irregular correction is when the "b" wave tops higher then previous wave "a" high. This is a perfect bull trap because when we think the market will move higher, he starts correcting on a tremendous "c" wave down.
Now, "c" waves usually respects certain Fibonacci ratios based on "a" price movement. It can be:
c = a
c = 1,618*a
c = 2,618*a
With that in mind and assuming that the nasdaq is making an irregular corrective abc, with a little math c = 1,618*a=75,07 points. the market has done 76,4... pretty close.

Best to your trading
PH

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