Search Results for "Investing"
Watch this video of Robert Prechter explaining social mood from an outside observer's point of view.
Investors shun stocks when they're cheap, but love them when they're over-valued. Financial herding occurs across all groups of investors, even among those who regularly advise against it. It's time to adopt another way of looking at the market.
Let's say you're an alien sent to this planet to study human behavior. Your task: the stock market as a mirror or human collective psychology. Millions of humans invest in it. Can you learn something by watching them put their money in a collective pot? Oh yes.
You may think that investing in gold differs from investing in stocks -- after all, gold is a commodity. Yet, the same investor psychology that moves stocks also moves gold.
Most investors herd. Hence, most investors lose, including the smartest. The May Elliott Wave Theorist says, "To win, you have to do the opposite of what's natural."
"Most investors follow the actions of others, whether they are on the right side of the market or not. The result is that prices move according to investors' optimism and pessimism. Investors use the news to rationalize their emotional decisions -- and most people lose money." How can you avoid that?
The Elliott Wave Principle can help you assess probabilities regarding future market movement. Our wave analysis has kept our subscribers ahead of recent market turns. Here's a free tutorial to help you learn what you need to know about the Elliott Wave Principle.
Here's a close look at the popular -- yet deeply flawed -- "random walk" theory, a popular view of market behavior held by many investors. We offer a carefully thought-out solution of our own... see if you agree.
Recognizable patterns unfold in the financial markets. Using Elliott waves, you can learn to identify these patterns and use them to anticipate where prices will go next. Get started with a basic understanding of the Wave Principle.
The recent story about the "boy wonder" who everyone believed made $72 million trading stocks is fascinating on many levels. One, it paints a very top-heavy picture of the market!
In 1934, Ralph Nelson Elliott discovered that social, or crowd, behavior trends and reverses in recognizable patterns. From this discovery, he developed a rational system of market analysis called the Wave Principle. Here's a quick introduction to the Elliott Wave Principle.
Why have an ever-greater number of U.S. investors entrusted their money, not to experts, but to the assumption that the stock market itself can just take care of their investment?
In the clip from Steve Hochberg’s recent interview with MarketWrap Radio, our Chief Market Analyst explains that in a deflationary environment, you shouldn't expect to get a return on your money. Instead... Well, listen.
Chris Carolan shows you how disregarding currency risk can dramatically impact returns.
House flipping was wildly popular during the mid-00s.The market crashed, and so did the flippers, just as we warned. Many were ruined. Now, flipping is making a big comeback. How safe is it?
"A Williamsburg establishment started selling a $100 edible 24-karat-gold-covered doughnut dunked in Cristal-infused icing. It's $1,000 for a dozen and it's not even in Manhattan." (January 11 Vanity Fair)
Learning how to apply Elliott wave analysis in your own investing or trading? Hear these tips from a Wall Street veteran who's been personally using Elliott waves since the 1980s.
"Fears" of Inflation. What it looks like when mutual fund managers go "all in." Artificial Intelligence In Action. See and hear about these topics and more, in our February preview of Global Market Perspective.
Syria is at the top of any serious list of today's "biggest problems." Not just because of Syria's nearly five-year war. Not just for being the bloodiest example of how "The Arab Spring" became "The Arab Winter"...
During the holiday season, many people receive cash as a gift. Recipients would be wise to store that cash in a safe place. Bargains in an array of financial assets may be soon available. A shift to financial conservatism appears to have already started.
You can also see how our currency forecast came first, and the "Brexit surprise" came second. Plus, why central bank "Targets" amount to a chart of failure. Check it out.
Bond market commentators are saying that President-elect Donald Trump's proposed programs are swaying the bond market. But a close examination reveals otherwise. We posit that there's a "wrong way" and a "right way" to analyze financial markets. Here's what we mean.
The old Wall Street advice to "buy low and sell high" seems easier said than done. But there's a group of traders who consistently pull it off. Find out who they are and, more important, what makes them so different.
Natural Gas - 3 degrees of trend for 2 months. "What's Next" for the U.S. Dollar Index. And, "Who's Excited" about consumer credit? See and hear about these topics and more, in our March preview of Global Market Perspective.
Why focus on expectations of inflation? Because, those expectations are detached from reality. The inflated fear of inflation is a contrary signal. Investors are betting on the wrong 'Flation.
Most investors believe that higher interest rates are bearish. These four charts show you the truth.
"If you knew earnings would rise for next 6 quarters, would you buy stocks?" Yes, it's a trick question.
In 1982 Robert Prechter called for a strong bull market. Most everyone else was mired in the memory of the 1970s, and expected little if anything from stocks. At the same time that Prechter called for a big bull market, he also said the most severe bear market in US history would follow. Has that epic trend change already occurred?
Wall Street's renowned "hemline indicator" observes that the length of women's skirts rise and fall with the stock market. Here's a quick historic overview.
Some people think the Elliott Wave Principle is complicated. Yet, to find trading opportunities all you need to know are the five core Elliott wave price patterns...
It is amazing to read assertions from the Fed and others that the stock market is nowhere near being in a bubble. Several aspects of the financial environment are actually so extreme as to be unprecedented. Here are 8 indicators we are watching closely.
Many investors monitor the news for hints on how to position their portfolios. Learn why this is a BIG mistake.
The latest electronic device is a "must have" for many people. Technology is pervasive. Many tech companies have seen big advances in their share prices. Are we in a bubble?
Money managers are nearly fully invested in the stock market. An eerily similar setup was in place just three months before the 2007 market top. Take a look at this chart ...
Home values have recently surged in some real estate markets, which bolsters the sentiment about a housing recovery. But one chart puts this housing recovery into context. Homeowners will likely experience more real estate pricing whiplash.
The Golden Ratio is found everywhere, from nature to human behavior to financial markets. Episode 3 of the Elliott Wave Pillars Series explains this amazing natural phenomenon in greater detail.
The evidence is clear. The stock market leads the economy contrary to popular belief. Episode 2 of the Elliott Wave Pillars series walks you through the overwhelming evidence that proves this point without a doubt.
The Elliott Wave Pillars Series walks you through why we view the markets and social action the way we do. You'll see compelling evidence that will help change how you view the markets.
Are financial markets patterned? Episode one of the Elliott Wave Pillars Series shows you a theory that proves they are.
An investigation of past stock market tops reveals that they were all preceded by this phenomenon. See the chart which depicts it unfolding right now.
Listen to a clip from our Chief Market Analyst Steve Hochberg's recent presentation at the San Francisco MoneyShow to get our unique perspective on the future of the U.S. real estate market.
In this new clip from Steve Hochberg's presentation at the 2016 San Francisco MoneyShow, you'll see how the extreme sentiment surrounding gold helped him anticipate its looming reversal.
Crude oil's long-term Elliott wave count anticipated a dramatic price slide. Workers for energy companies grapple with the consequences. The deflationary trend has only started.
Financial history shows that peaks in corporate mergers generally occur prior to major bear markets. With that in mind, consider that 2015 saw a record amount of money spent on mergers. But, since then, a shift has occurred. Is financial history set to repeat?
John Jacob Astor has been called "America's first multi-millionaire," and he made a brilliant financial move that may interest investors. Today's luxury market appears to be in trouble. Take a look at this chart.
The Wave Principle and other technical indicators helped investors prepare for new all-time highs. See how.
We often get asked about computerized trading "causing the market to stray from the Wave Principle." EWI founder Robert Prechter asked that very question in this excerpt from Prechter's Perspective.
Subscribers often write in saying that, "Sometimes on your charts there is overlap between waves one and four within wave 5. Doesn't that break a rule?" This excerpt from Elliott Wave Principle -- Key to Market Behavior answers that question.
Fibonacci provides the mathematical basis for the Wave Principle. This lesson, adapted from our How You Can Identify Turning Points Using Fibonacci eBook, shows you how to calculate the retracement that corrective waves make.
Most investors are too embarrassed to tell the truth: They consistently lose money in financial markets. Even during a bull market, the median household saw their retirement wealth decline by 13%. The observations of a stock broker more than 100 years ago are revealing.
On Nov. 21, U.S. crude spiked 4%. Not surprisingly, the financial press attributed the price rise to the possibility that OPEC will cut production. But, earlier in 2016, oil prices fell on similar news. Find out what really governs oil prices.
In the May 2008 issue of The Elliott Wave Financial Forecast, we cited a sudden loss of enthusiasm for company buybacks as another component of a major market reversal.
Wondering "What did I do wrong?" Discover if you're making one of these common mistakes.
The stock market moves with lightning speed when fear grips the minds of investors. On June 24, the Dow saw its eighth-largest point loss ever. Is the wave of financial optimism that started in 2009 over? A "must read" book tells you how to get financially safe.
Steve Hochberg and Pete Kendall discuss what the Brexit vote represents -- and its implications for the world markets and economies.
See how this single market indicator warned of reversals in stocks in 2000 and 2007.
Your next car might drive itself. Advanced computer chips, software and sensors make this possible. These two driverless companies flash bullish wave patterns. Our analyst says hop on board now.
EWI's CEO Robert Prechter offers visitors his classic report. No purchase necessary.
The Elliott Wave Financial Forecast has been tracking a steady global shift to greater financial conservatism over the last several months.
Global Market Perspective (GMP) delivers monthly analysis and forecasts for the world's major financial markets, straight to your computer. Watch this preview of our December issue.
Going into April, too many world financial markets look too complacent. See the charts & pictures for yourself.
If investors would only review the historical data, they would discover the sobering truth about news and the stock market. Do you believe a presidential assassination or a major terrorist attack would affect the market's trend? Find out what really happened.
See our global market charts that cover $18 TRILLION, inflation(?), and a truly bold forecast.
There's a sizeable gap between investor expectations and historical market returns. Chalk it up to ramped-up optimism and what psychologists call "information avoidance." Two surveys and one chart are revealing.
A chief investment officer just told USA Today, "Listening to the 6 o'clock news gets investors off track." Find out why he made that statement. Plus, see what a "news-driven" and rational-reaction graph of stock prices would look like. (Hint: It's nothing you'd ever see in real life.)
The demand for luxury tends to increase as a financial mania matures. One of the latest extravagant items weighs 33 pounds and is made of solid gold. Financial trend changes usually occur when they're least expected. Are you prepared?
See 3 global market charts that answer the question, Has Investor "Courage" Gone "Crazy"?
In investing, one rule of thumb tells you that the higher the return, the higher the risk. Today, one high-yield debt instrument that was at the forefront of the 2007-2009 financial crisis has reached a new, dangerous milestone. We're sounding the alarm -- again.
It's not quite time for the so-called Santa Claus Rally. And yet, it's easy to get disheartened when you see stocks struggle and fail to make progress for days. That's when you may wish to consider turning to Elliott wave analysis.
All inverse funds and inverse ETFs suffer from beta slippage because they all track a certain market on a percent change basis. The greater the leverage and volatility, the greater the slippage. Bob Prechter explained this in his August 5, 2009, Elliott Wave Theorist ...
Learn about 3 practical benefits of trading with the Elliott Wave Principle.
Will piles of "sideline cash" send the stock market higher? Learn the answer to that question, plus find out why the stock market may not remain "boring" for long.
Big volatility has been conspicuously absent from the stock market. We view this as a warning sign instead of a reason for complacency. Market history backs up our view. Take a look at this chart.
Millions of investors analyze the Fed's every word. But do central banks control financial markets? It's time to take a close look at the data.
Actively managed mutual funds generally charge higher fees than passive index funds. Shareholders pay for the fund manager's supposed stock-picking skills. Find out why many investors are often disappointed, and especially so through the first half of 2016.
How does catching a 79% move in 14 months sound to you? Any investor would be thrilled. Our Global Market Perspective subscribers were alerted to just such an opportunity in this Australian index -- see how.
Investors tend to extrapolate present trends into the future. When that trend also catches fire with the general public, watch out. A turn might be nigh. Learn about an indicator that has a strong record of marking major turns of fortune.
In our new ElliottwaveTV episode that we call "Video Mailbag," you'll hear from two of our global analysts: Global Opportunities Expert Chris Carolan and Chief Commodity Analyst Jeffrey Kennedy.
Some people believe that "baby boomers" are driving the stock market's trend. The thinking goes that this large demographic group is behind the bull market, and as they retire, a bear market will follow. This thesis seems logical, but let's look at the evidence.
In July, crude oil prices plunged 21% to a six-year low. Many oil experts (despite their God-like reputations) failed to anticipate the turn down. The reason why, though, may surprise you.
Between mid-January and March 31, the Canadian dollar (nicknamed "loonie") went from a near record low -- to a five-month high. The currency's dramatic performance may seem "loony," but in fact, it's just what the Elliott wave script called for.
In part two of this essay, our Currency Pro Service editor, Jim Martens, explains how to think of the Elliott Wave Principle as your road map to the market -- and your investment idea as a trip.
At a 10-month high in early June, all "fundamental" signs pointed UP for crude oil's future. And yet -- on August 1, crude oil prices plunged below the $40 per barrel level for the first time in more than three months AND slipped into its third bear market in two years. See the story from a totally unique perspective.
Global political leaders and CEOs of major companies have a privileged perspective on the world. But even they can steer investors in the wrong direction. Right now, emerging markets appear ripe with opportunity, contrary to the "experts'" forecasts. Take a look at these two charts.
The financial sector has been part of the so-called Trump Bump. A well-known hedge fund manager sees a golden age for banks. Our view is radically different. We expect that the most aggressive exploiters of the long bull market will face harsh future consequences.
Remember how during the time of the Greek bailout a couple of weeks ago, the euro didn't seem to "know" which way to go next? There is a reason for that, says The Wall Street Journal: carry trade.
If you live in the U.S., maybe you've noticed lately that "We Buy Gold!" signs are disappearing from sidewalks in front of pawn shops. The signs really began popping up in 2010-2011, when gold prices were climbing to their all-time high of $1900 an ounce. And even after gold tumbled...
We're only two trading days into 2016 -- yet, so far, the new year isn't looking too promising. Right now, you may be scrambling to make sense of the DJIA's huge tumble on Monday. This excerpt from our December Elliott Wave Financial Forecast may help.
In early June, crude oil prices took a flying leap from 10-month highs, tumbling 15% to a three-month low on July 27. As for seeing oil's reversal coming in advance -- the "parachute" of fundamental analysis didn't "open" in time ...
Robert Prechter discusses the socionomic insight and explains how he developed the theory in this engaging interview.