The expansion phase of the Elliott wave theory may be exceedingly long as it could possibly pile up to years or decades but the nature movement of the market and trading activities will eventually come to a repetition. There are many features of the theory; essentially offered down to the compactness and organization it contributes to the topsy-turvy pattern of the retail price. To make things much easier to comprehend, there is an organized hierarchy of the market variations. This structure gives a more tremendous precision in the trading decisions, widens one’s écart by expanding the website beyond the uncertainties of the market and increasing people’s confidence. elliott wave theory
These advantages lead to a likely formulation of some advanced and complex strategies to predict and estimate what may happen in the future. At least with the forex Elliott say indicator, an investor could have a vague concept of what the market might become. Albeit being able to provide several advantages, the theory used could produce couple of drawbacks as well.
Probably one of the primary flaws of Elliott wave theory is the arbitrariness. That is not more likely to have several people performing research on the same graph pattern and come up with similar conclusions or draft out corresponding effects. Not any doubt, it is almost impossible to have large group of traders obtaining a common consensus so probably the indicator is being unable to help everyone, only those who could conduct the appropriate interpretations and perform the right decisions. Possibly, this is caused by the fluid and intuitive system of the theory itself as it is rather than an universally concluded concept.
In simpler explanation, the fx Elliott wave indicator is subjected to an opportunity of being wrong. The market may appear to combine some recurring cycles established on the visual evaluation or past history but the true outcome may be a whole offers a pattern of different versions, having little or no relation to the predicted fluctuations as well. Certainly it is an useful theory with an organized planning for the market nevertheless the predictive power may well not be as trustworthy as one may seem to be to think.