Skip to Main Content
Technical Analysis For Dummies, 4th Edition
book

Technical Analysis For Dummies, 4th Edition

by Barbara Rockefeller
October 2019
Beginner content levelBeginner
384 pages
10h 46m
English
For Dummies
Content preview from Technical Analysis For Dummies, 4th Edition

Chapter 17

Judging Cycles and Waves

IN THIS CHAPTER

Bullet Introducing the cycle concept

Bullet Looking to the moon and stars

Bullet Assessing seasonality

Bullet Conjuring magic numbers

Stock and commodity market prices often move in a regular and repetitive manner that looks like a series of ocean waves on the chart. Each wave in a series of waves has a specific height and length, and when those are the same or nearly the same from wave to wave — or waves are consistently proportional to one another — the pattern is called a cycle. Some market price cycles follow economic developments, and some patterns that look like cycles follow some other organizational principle, like the lunar cycle. In some cases, analysts can find a strong correlation with numbers series or a connection to some other cause that is unseen and unproved.

This chapter describes some of the more prominent ideas about waves and cycles developed over the years, with some theories going back centuries. You should suspend disbelief and give the various theories a chance, including the increasingly popular Elliott Wave theory I cover at the ...

Become an O’Reilly member and get unlimited access to this title plus top books and audiobooks from O’Reilly and nearly 200 top publishers, thousands of courses curated by job role, 150+ live events each month,
and much more.
Start your free trial

You might also like

Technical Analysis For Dummies

Technical Analysis For Dummies

Barbara Rockefeller

Publisher Resources

ISBN: 9781119596554Purchase book