Europe: Will a Record Fiscal "Injection" Save the Stock Market?
"You can’t tell the market what you will or won’t accept. It tells you."

The European Central Bank made a record "liquidity injection" into Europe's money markets this week. Will it help turn things around? Before you say yes, read this insightful comment by Robert Prechter, EWI's founder and president.

European Stocks: Putting Elliott to Work
A good example of how stocks transition from sideways to impulsive trends.

"My experience is that when people are first exposed to the Elliott Wave Principle, they want to know when 5th waves are about to end. But after some experience, the information that becomes most useful is 'show me when a wave 2 is ending' -- because that’s the point right before strong and trending 3rd waves start."

European Stocks: Think of Elliott Waves as a Map

How Elliott Wave Analysis Helps You Find Opportunities

European Stocks: "You Are Here"
Having perspective can greatly reduce the stress of your investment decisions.

Europe: Deflation is a Global Story (Part II)
Bear markets have a way of making the impossible possible – and fast.

This is part two of my interview with Brian Whitmer, the new editor of Elliott Wave International’s monthly European Financial Forecast. Here, Brian talks about Europe's "hidden" markets and gives tips on how to trade overseas if you are a U.S.-based investor. He also explains why he thinks the integrity of the European Union will be tested in this bear market.

Europe: Deflation is a Global Story (Part I)
This is Part I of an interview with EWI’s new European editor.

European Stocks: How Much More of the "Downside Fireworks"?

In early 2008, European stocks, especially those in Eastern Europe, were investors' darlings, "shelters from the storm." Well, try finding someone who thinks so now. And, says the European Financial Forecast editor Brian Whitmer in the new, March issue, judging by the "incomplete structure" of Elliott wave patterns in Europe's major bourses, they can go even lower.

European Stocks: "Hope And Optimism Prevail"
These are not the typical psychological conditions for a stock market bottom.

Conventional economists have no shortage of villains to blame the financial crisis on – but if you ask us at EWI, the culprits are as old as investing itself: fear and greed. Whether you are in a financial bubble or a panic, a herding mentality of fear or greed takes over. This curious behavioral phenomenon is precisely what the Elliott Wave Principle describes and studies: Wave patterns in market charts are nothing but fear and greed unfolding right before your eyes. Take a look...

A Bucket of Sand for ECB's Jean-Claude Trichet
What's in store for the European Union in 2009?

Pliny the Elder, a Roman military commander and philosopher, was a busy and intelligent man. His greatest legacy, Naturalis Historia, was one of the largest written works to have survived to the modern day in its original format. To this day two items from that book remain in our everyday lexicon. And as I watch the actions of Jean-Claude Trichet, the president of the European Central Bank (ECB), all I can think of is Pliny the Elder's remarks...

European Stocks: Not As Chaotic As It May Seem
In terms of price movement, both bull and bear markets are quite orderly.

I'll bet that if you ask ten people which of these two words – "order" or "chaos" – they associate bull and bear markets with, eight out of ten will say that bull markets bring order, while bear markets are chaotic. Yet in terms of price movements, both bull and bear markets are quite orderly. You want proof? OK.

Will the U.K. Housing Market Bottom In 2009?

Ever since the cracks began to appear in London's real estate sector, the mainstream officials have been sliding down a slope of hope. As a whole, they have been the "Boy who cried" Great Britain's housing bottom. Get the full scoop today.

European Stocks: Sideways to… Higher?
Will the October-November period of sideways trading in the FTSE prove to be "base-building"?

Despite the fact that in November the index suffered another significant decline, its overall performance since late September-early October has essentially been flat, with almost zero net progress in either direction. If you think that's interesting, you're not alone. The editor of EWI's monthly European Financial Forecast (EFF), Tom Denham, focuses on this fact on p. 2 of the just-published, December issue -- and presents the following chart... 

European Stocks: Worst News Comes at a Bottom?
"This historic performance suggests that the decline may be at least temporarily exhausted."

You may know that the Elliott Wave Principle is a contrarian investment method. Based on years of observing market behavior, we at EWI know that while the best news typically comes near market tops, the worst news appears – you guessed it, near bottoms...

European Stocks: The Dance Of The Fearful
Bear markets can destroy very quickly what took years to build.

Bear markets can destroy very quickly what took years to build. They are fast because they are driven by fear, and fear is stronger than greed, the bull market catalyst. This is what Tom Denham, Elliott Wave International Senior European Equity Analyst, says about this cycle in the opening paragraph of his current, October European Financial Forecast...

Russian Stocks: From Boom To Bust
The emerging market “Airbag” fails to open

In the last month, Russia (a.k.a. “the Lungs of Europe”) has come down with an acute case of financial pneumonia. Every effort to clear the airways -- from NINE shut downs of the Russian Trading System Index (RTSI) to $150 billion in cash infusions -- has been for not. Moscow’s main bourse continues to choke, culminating in the code blue event of “Black Monday” (October 6)...

European Stocks: At First, They Said…
Here we are – a year into the global liquidity crunch, and hardly out of the woods.

Emerging Markets: Still The "Safe Havens?"
What's behind the selloffs in the stock markets in China, India -- and Russia?

Surely you've heard opinions that even if the stock markets in the U.S. and other developed countries experienced "a correction," the emerging markets would be just fine. Well, here we are. It's August 2008, a little over a year into the global liquidity crisis. China's Shanghai Composite stock index is down 50% from its all-time high; India's BSE SENSEX is down about 40%; and Russia's RTS is down over 30%. Why?

European Credit Crisis: Disaffirmation
Anyone on this list is fully engaged in disaffirmation.

It’s bad already. And it’s getting worse. Still, there are many who just don’t – or won’t – get it. The latter group is usually filled with politicians, too engaged in denial to fully grasp the fiscal and deflationary implications of this credit crisis.

European Stocks: Ahead Of The U.S., Or Behind It?
They say, "the world catches a cold when America sneezes." Is that true?

Many adopt the view that "the world catches a cold when America sneezes." We could, however, argue that the turbulence started in the UK and spread to the U.S.! See this chart for details.