Using Markets & Maths to Predict Market Vibrations

[aricho]

suppose the "elliot wave structure" and movement in markets is fact and causes a vibration everytime (a vibration is a change in price due to a factor, here being the range).

The elliot wave structure says that markets move in 5 waves as shown below, one up, one down ect till the top, where an ABC happens (not all the time, but suppose that for now).

sometimes you can predict a vibration by using the range and fractions of it on the way down, and you can predict a target by using 1+ the fraction.

An example of this is in the 2nd picture where the market bounces off the 1/4 retracement (3/4 of the range from the bottom, 1/4 from the top.)

We can look at trends over many different time frames. Now look at C as the low, instead of A.

Is this equation valid?

{c} = \frac{x}{y}\times{r} + {p}

that was the first time I've ever done one of those so if it doesn't work i'll try it again.

in the equation, \frac{x}{y} is either 1/2, 1/3, 2/3, 1/4, 3/4, 3/8, 5/8 or 7/8. As you see this would make many different prices.
r is the range between the top of wave 5 (w5) and P.
the result is added to P to give the level (price) of the vibration.

This just happened recently, where the market had a low of 3927 and a high of 4322. The range was 4322-3927=395. So a one quarter vibration is 3/4 X 385 + 3927=4223 (EXACT VIBRATION) (S&P200 aussie)

could the above formula be used to produce vibration levels? or is there a better equation?

Thanks

 

[EnumaElish]

Yahoo search on "elliot wave structure" returned (inter alia):
http://www.ensignsoftware.com/tips/tradingtips19.htm (no idea what it's saying but the graphs are way cool)
http://www.trade2win.com/boards/archive/index.php/t-9950.html
http://www.themarketmessenger.com/Presentationscontents.html
Good luck!

 

[hhegab]

for sharing your thoughts on using markets and maths to predict market vibrations. The concept of the elliot wave structure is certainly interesting and has been a topic of debate among traders for many years. While some believe in its predictive power, others remain skeptical.

The idea of using fractions of the range to predict vibrations is also intriguing. It seems to make intuitive sense that a market would experience a "vibration" or change in price when it reaches certain fractions of its range. However, it's important to keep in mind that the market is influenced by many factors and can be unpredictable at times.

As for the equation you have proposed, it could potentially be used to produce vibration levels but it's hard to say for sure without further testing and analysis. It's always a good idea to backtest any trading strategies or formulas before implementing them in live trading. Additionally, it's important to consider other factors such as market trends, news events, and overall market sentiment when making trading decisions.

In terms of whether there is a better equation for predicting vibrations, it's difficult to say. Every trader may have their own preferred methods and formulas for analyzing the market. It's important to find what works best for you and continue to refine your approach over time.

Overall, using markets and maths to predict market vibrations can be a useful tool in trading, but it should not be relied upon as the sole factor in making trading decisions. It's important to have a well-rounded approach and to always be cautious and aware of market risks.