Hi guys,
I have a problem understanding how Neely's rules of logic is organized in his book Mastering Elliott Waves.
I'll give you an example:
Below is a paragraph of the book page 3-35 (Rule 1 Condition a), as you can see there are many "ifs" in there, but I have a problem understanding the hierarchy of the conditions; the blue parts suggest that :5 is inherited from the top, but the underlined parts, since the condition is repeated, suggest that they are independent,... So.. I was wondering if anyone could explain it to me how should I interpret it.
Thanks.
If m2 takes the same amount of time (or more) as m 1 OR m2 takes the same amount of time (or more) as m3, place a ":5" at the end of m1. If the length of m(-1) is between 100-161.8% (inclusive) of m0 and m0 is very close to 61.8% of m1 and m4 does not exceed the end of m0, m1 may complete a Flat pattern within a Complex formation where m2 is an x-wave (x:c3); place ":s5" at the end of m1.
If m0 is composed of more than three monowaves and m1 retraces all of m0 in the same amount of time (or less) that m0 took to form, m0 is probably the end of an important Elliott pattern; note on chart.
If m0 and m2 are approximately equal in price and time (or related by 61.8% in either case) and m(-1)is 161.8% (or more) of m1 and m3 (or m3 through m5) achieves a price length equal to or greater than m(-1) within a time frame equal to or less than that of m(-1), a Running Correction (any variation) is probably unfolding; take note of that fact and add ”[:c3]" after the ":5" already at the end of m1. If the Running correction is a simple variation, it most likely started at the beginning of m0 and concluded at the end of m2 with m1 the "b-wave" of the correction. For the Running Correction to be of the complex Double Three variety, m(-2) must be shorter than m(-1); in that case, the formation probably started with m(-2) and concluded with m4 making m1 the "x-wave" of the formation (x:c3).
If m0 and m2 are approximately equal in price and time (or related by 61.8% in either case) and m(-1) is less than 161.8% of m1 and m(-1) is larger than m0 and m3 OR m5 is 161.8% of m1 (or more), a Running Correction (any variation), which concludes more than one pattern, might be under formation; note that fact and add ":c3" after the ":5" already at the end of m1.
I have a problem understanding how Neely's rules of logic is organized in his book Mastering Elliott Waves.
I'll give you an example:
Below is a paragraph of the book page 3-35 (Rule 1 Condition a), as you can see there are many "ifs" in there, but I have a problem understanding the hierarchy of the conditions; the blue parts suggest that :5 is inherited from the top, but the underlined parts, since the condition is repeated, suggest that they are independent,... So.. I was wondering if anyone could explain it to me how should I interpret it.
Thanks.
If m2 takes the same amount of time (or more) as m 1 OR m2 takes the same amount of time (or more) as m3, place a ":5" at the end of m1. If the length of m(-1) is between 100-161.8% (inclusive) of m0 and m0 is very close to 61.8% of m1 and m4 does not exceed the end of m0, m1 may complete a Flat pattern within a Complex formation where m2 is an x-wave (x:c3); place ":s5" at the end of m1.
If m0 is composed of more than three monowaves and m1 retraces all of m0 in the same amount of time (or less) that m0 took to form, m0 is probably the end of an important Elliott pattern; note on chart.
If m0 and m2 are approximately equal in price and time (or related by 61.8% in either case) and m(-1)is 161.8% (or more) of m1 and m3 (or m3 through m5) achieves a price length equal to or greater than m(-1) within a time frame equal to or less than that of m(-1), a Running Correction (any variation) is probably unfolding; take note of that fact and add ”[:c3]" after the ":5" already at the end of m1. If the Running correction is a simple variation, it most likely started at the beginning of m0 and concluded at the end of m2 with m1 the "b-wave" of the correction. For the Running Correction to be of the complex Double Three variety, m(-2) must be shorter than m(-1); in that case, the formation probably started with m(-2) and concluded with m4 making m1 the "x-wave" of the formation (x:c3).
If m0 and m2 are approximately equal in price and time (or related by 61.8% in either case) and m(-1) is less than 161.8% of m1 and m(-1) is larger than m0 and m3 OR m5 is 161.8% of m1 (or more), a Running Correction (any variation), which concludes more than one pattern, might be under formation; note that fact and add ":c3" after the ":5" already at the end of m1.
