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European Stocks: Think of Elliott Waves as a Map
"The Wave Principle, in some ways, is similar to a detailed road map -- one that guides investors through the market’s countless highways and byways. Occasionally in a market journey, it’s difficult to be sure of your exact position. But as with identifiable road markers, the market traces out recognizable Elliott waves, and you can begin to know quite comfortably where you are within a move."
"Above are two road maps of the... journey that we’ve been tracking since the lows in March. The FTSE-100, shown at top, displays the cleanest pattern. Wave A counts well as five waves into the March 24 high of 3911. Wave B unfolded as a contracting triangle, ending on April 21 at 3897 intraday. The latest advance is tracing out a relatively clean impulse... The near-term form of the Eurostoxx (bottom chart) differs slightly, but the message of the pattern is similar.
"For a wave analyst, the multitude of European markets can often confirm or deny one another’s wave pattern. Fortunately at present, patterns synchronize nicely and, together, substantiate our forecast..."
The forecast is simple: The rallies in Europe are getting mature. For that reason, Brian Whitmer reminds subscribers that, "Short-term traders in Europe should pay close attention to the European Short-term Update this month."