One of the most common phrases used by financial planners and fund managers is that "They don't ring a bell when the market tops or bottoms". This book disagrees - timing is of paramount importance and that the market provides many signals to enable this prediction.
This book aims to provide the reader with practical techniques of chart analysis based on the principles developed by WD Gann and RN Elliott. Although focusing on the Australian market, the techniques apply to all markets regardless of the exchange, whether American, Asian, European or Australian.
Gann developed a trading technique of time and price squaring, which places a great emphasis on the importance of the time factor, and, at the same time, deciphers much of the mystery behind market timing. In another corner, Elliott's years of research culminated with a hypothesis (The Wave Principle) that the stock market follows a repetitive rhythm of a five-wave advance that is followed by a three-wave decline which, he said, constituted a complete cycle.
Elliott's principles build on the foundations of "Fibonacci" numbers and phi (the golden ratio) to explore natural number sequences that have application to the stock market analysts and executives.
