Does Elliott Wave work in trading?
Chethan-Patel: It works well after it has failed a couple of times before that. Let me explain.
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As I said, EW is not for everyone. It tests your logical reasoning and patience, and the reward is absolutely worth the effort.
Only a handful of traders/investors who start learning EW stick through it. Rest just give up calling it a scam.
Chethan understood EWT well.
Patience is really challenging! Even my algo needs patience! EWT is too good for me as an additional monitoring.
Still waves are confusing with different numbers
Remember the movie, Matrix? Once you get it, you can see picture instead of running codes 
EWT for QQQ at higher level is clearer. Is why I prefer to position trade (a few months to a year long) rather than day/swing trade (a few days to few weeks) which require fast interpretation. Refer to chart below,
Preferred count: Is in wave (2), where would it be completed? Might be completed actually.
Alternative count: Not good, decline to $260s.
However, there would be a wave 5 regardless which count is correct. See? easier to position trade because don’t need to care which count is correct.
Hard to learn and very few investors learned is an advantage if you can learn it True for both algo and EWT. If you can master both, you have double advantage over average traders who only know chart patterns and draw a few lines
Btw, there is an optimistic count, more optimistic than the preferred count I know, many possible counts so need to track them and see which is the correct one - take note of all the prices that cause them invalid - is also your cut loss or buy price level, depending on what you’re doing.
Retraced 61.8% of the previous impulse (not the higher degree one). So could be UP from here i.e. new high. I rolled the short strangle (covered call + short put) for TQQQ up to $190/$165 from previous $180/$160 - getting a little greedy.
Did your algo indicate a big selloff is imminent?
Look like I should close another 100 TQQQs on Monday to reduce exposure.
Currently about 70% cash in trading portfolio. Thinking of raising even more cash. Don’t like bearish divergence even though there are two optimistic counts which seem quite likely. Prefer to err on the “lose less money” side rather go for “make more money” assuming the optimistic counts are correct.
My algorithm can only tell the possible turning point, but not the big or small down. Before falling down side, it may provide many wrong indicators (false positive) and finally give one day correct indicators.
Same way, it can tell when likely be bottom, between one day previous to 3 days after(the fact). Same wrong indicators (false positive) are common, it never tells me big or small or how much percentage.
So far, it gave me a signal on 12/17/2020 (sell), next 2 days market went down. That is all for now and I do not have any clue how much it can go down or up and when next peak/bottom will happen.
That’s good. I have time 
to unload TQQQs and make adjustment to the portfolio.
“Renewable froth” is a prevalent theme in the current equity bubble, he explained, considering the wild performance of highfliers Plug Power (PLUG), Nio (NIO), Enphase Energy (ENPH) and, of course, Tesla (TSLA).
Many bloggers, most notable @manch, are thinking of investing in EV stocks 
They didn’t realize…
“The important thing to remember is when equities become this overbought on a long-term technical basis, they are pricing-in DECADES of success. Everyone knows renewables are the future of power-generation, that does not mean these valuations are sustainable in the near-term.”
The rapid appreciation since Mar is likely a blowoff top fifth wave of Primary degree… note that retracement of such blowoff top usually go all the way back to the start i.e. back to price level in Mar. Beware! Better hope is not a blowoff top.
Almost 50% of posts will give positive and 50% will give negative and they scare investors.
When individuals work deep on valuation, esp future growth at least 2-5 years, they can still invest/divest based on their analysis.
I almost forgot ENPH (and SEDG) when I last sold at $55. The CEO used to buy (from outside market) often with his cash many times when it was deep low.
With Biden supporting non-conventional energy (such as solar), still these stocks can run further (other than normal market correction).
Now, I regret forgetting ENPH similar to DOCU and TDOC !
Your biggest regret is you like to chase hot stocks. Should do like @wuqijun (TSLA AAPL FB GOOG NFLX) and @marcus335 (SHOP TWLO, new ones are BILL ESTC FSLY), once identified, just stick on to them. Add when Mr Market throws tantrum. There is no need to keep changing. Ditto for @manch - well, his stock portfolio should be ~$5-$10M, @manch, correct? Guess ok to occasionally swap a few stocks.
Not sure what the average age is here but anyone who studied well and then worked diligently for 30 years or so and didn’t waste their wages on crap ought to have piled up about 5M even if all they did was dollar cost average into an index fund.
Are you mixing up net worth with worth of stock portfolio?
I came to USA in 2002 so don’t know how popular is index fund 30 years ago.
Late 80’s/early 90’s index investing was already popular. S&P index was one of the more common 401k/IRA choices. S&P was a little over 300 at the time.
I never did invest in NVDA. Years ago I thought 5M should be good enough but now with all these explosive growths all around us I feel that even 5M is a little mediocre 
You invested in AAPL pre-USA…hmmm, too bold…? Then, why did not you invest in AMZN later point of time?
I wasted almost first 20 years of US life without any stock investments, but escaped by real estate, but that also after 12 years of US (after getting citizenship…so much insecure at that time) !
We know, we know you make it pass $5M with TSLA. Poor @manch has invested a lot into RE and recently try to sell his RE rentals and put into stocks, so called roaring 20s - I know nuts about what happen then.
With US keeps printing money, what is the correct NW for a 50 years old man with 1 wife and 2 kids?
Btw, I forgot. Did you get into AMZN and NFLX? Too lazy to search the forum, pretty hard to search and so much effort required to search this forum.
Then? I was working and didn’t pay much attention to the stock market and US news - practically know zilch about US! Why AAPLs? Because I heard from my colleagues that Apple is very innovative and is mentioned in the book titled “In search of Excellence” (got this book, right?). There is an Apple factory in Singapore and many want to work there Frankly didn’t hear about AMZN. Then only heard of MSFT, CSCO, HP, Yahoo! and IBM.
Oh come on, I made it pass 5M long before TSLA exploded. I think one might need maybe 20M to generate envy. I never invested into Amzn but with NFLX I did buy some back in 2016 and now it’s worth about $200K.
Let’s celebrate what we have already.
