{"id":8191,"date":"2010-04-01T16:47:46","date_gmt":"2010-04-01T20:47:46","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=8191"},"modified":"2010-04-01T16:47:46","modified_gmt":"2010-04-01T20:47:46","slug":"the-wave-principle-where-the-rubber-hits-the-road","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/04\/01\/the-wave-principle-where-the-rubber-hits-the-road\/","title":{"rendered":"The Wave Principle: Where The Rubber Hits The Road"},"content":{"rendered":"<h3><span>Elliott wave analysis saw  corn&#8217;s biggest moves coming<\/span><\/h3>\n<h3><span style=\"font-size: small;\">By Nico Isaac<\/span><\/h3>\n<p>You could be to technical analysis what tweens are to  texting,                  and it wouldn&#8217;t make a lick of difference: You still  wouldn&#8217;t                  necessarily be trading at your fullest potential. The  reason being:                  Without Elliott wave in your technical analysis toolbox,  it&#8217;s                  like looking at the world of opportunity through a  narrow keyhole                  and ultimately missing the big picture.<\/p>\n<p>The Wave Principle can help you unlock that door.  Teaching you                  how to do it is the goal of the latest free educational  report                  from our Club EWI resource center, titled <em><a href=\"http:\/\/www.elliottwave.com\/r.asp?acn=9cp&amp;rcn=aa90&amp;dy=aa040110&amp;url=http:\/\/www.elliottwave.com\/club\/improve-your-trading\/default.aspx\">&#8220;<strong><span style=\"text-decoration: underline;\">How                   the Wave Principle Can Improve Your Trading.<\/span><\/strong>&#8220;<\/a><\/em> In                  this six-page article, our editorial staff reveals these  (and                  many more) ways in which the wave model makes up for the  ways                  ordinary technical methods fall short:<\/p>\n<ul>\n<li>Technical studies can get you on board a trend, but  the Wave                    Principe can say specifically at which point that  trend has                    failed &#8212; namely, when prices violate critical support  or resistance                    levels in your price charts.<\/li>\n<li> Technical studies can identify the direction of a  trend,                    but the Wave Principle can determine how high prices  will rally                    or how low they will fall.<\/li>\n<li> Technical studies can recognize the <em><strong>strength<\/strong><\/em> of a trend, but the Wave Principle can discern the <em><strong>maturity<\/strong><\/em> of one; when it&#8217;s time to take profits or raise  protective stops.<\/li>\n<li>Technical studies can recognize the strength of a  trend, but                    the Wave Principle can discern the maturity of one;  when it&#8217;s                    time to take profits or raise protective stops.<\/li>\n<\/ul>\n<p>Now for the fun part: Putting the Wave Principle to use  in the                  real-time action of a well known market. For this, we  turn to                  EWI&#8217;s chief commodity analyst and long-time <em>Futures  Junctures                  Service <\/em>editor Jeffrey Kennedy. (<strong>Note<\/strong>:  <em>Futures                  Junctures Service<\/em> is a two-part package that  includes <em>Daily                  Futures Junctures<\/em> and its long-term sister  publication <em>Monthly                  Futures Junctures.<\/em>)<\/p>\n<p>Over the last year, Jeffrey&#8217;s timely navigation of the  Corn market                  showcases the ability of Wave analysis to identify  high-probability                  trade set-ups. To illustrate, we&#8217;ll start with this  price chart                  of corn since March 2009 (courtesy of ino.com) &#8212;  punctuated with                  brief excerpts from Jeffrey&#8217;s <em>Monthly Futures  Junctures. <\/em><\/p>\n<p><em><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/www.elliottwave.com\/images\/charts\/cbot-corn-may-2010.GIF\" alt=\"CBOT Corn May 2010\" width=\"513\" height=\"335\" \/><\/em><\/p>\n<p>Below are the expanded versions of  Jeffrey&#8217;s analysis:<\/p>\n<p><strong><span style=\"text-decoration: underline;\">June 2009 <em>Monthly Futures  Junctures: <\/em><\/span><\/strong><\/p>\n<blockquote><p><em>&#8220;The Party&#8217;s Over In Grains: The  corrective                    advance in corn that began in December 2008 is  complete at 450                    (basis July). This means that the stage is set for  renewed selling                    that should push corn prices to below the 2008 low of  325 1\/4.                    Moreover, considering the manner and extent of the  decline since                    the early June top, wave patterns argue strongly that  this is                    an intermediate tradable top.&#8221; <\/em><\/p><\/blockquote>\n<p><strong><span style=\"text-decoration: underline;\">September 2009 <em>Monthly  Futures Junctures:<\/em><\/span><\/strong> Presented an updated chart that showed prices set to  embark on                  a powerful uptrend above $4 and wrote: <em>&#8220;After a  Rally,                  More Decline.&#8221; <\/em><\/p>\n<p><strong><span style=\"text-decoration: underline;\">January 2010 <em>Monthly  Futures Junctures:<\/em><\/span><\/strong> Price chart showed wave c of a zigzag coming to an end  and wrote:                  Wave c = .618 times wave a + wave a at $4.26.<\/p>\n<div>\n<p>When applied skillfully, no method gets you into a  trend earlier                    and out of a failed move faster than the Wave  Principle. Read                    the entire free 6-page report <em><a href=\"http:\/\/www.elliottwave.com\/r.asp?acn=9cp&amp;rcn=aa90&amp;dy=aa040110&amp;url=http:\/\/www.elliottwave.com\/club\/improve-your-trading\/default.aspx?code=40817%26articleid=1348\">&#8220;<span style=\"text-decoration: underline;\">How                     the Wave Principle Can Improve Your Trading<\/span>&#8220;<\/a><\/em> today.<\/p>\n<p>Here&#8217;s what you&#8217;ll learn:<\/p>\n<ul type=\"disc\">\n<li>How the Wave Principle provides you with price  targets<\/li>\n<li>How it gives you specific &#8220;points of ruin&#8221;: At                      what point does a trade fail?<\/li>\n<li>What specific trading opportunities the Wave  Principle offers                      you<\/li>\n<li>How to use the Wave Principle to set protective  stops<\/li>\n<li>Keep reading this free lesson now.<\/li>\n<\/ul>\n<\/div>\n<p><em><strong>Nico Isaac<\/strong> writes for Elliott Wave  International,                  a market forecasting and technical analysis firm.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Nico Isaac &#8211; You could be to technical analysis what tweens are to texting, and it wouldn&#8217;t make a lick of difference: You still wouldn&#8217;t necessarily be trading at your fullest potential. The reason being: Without Elliott wave&#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-8191","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/8191","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=8191"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/8191\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=8191"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=8191"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=8191"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}