So far I have not looked at the Dow Jones Industrial Index. It is relatively easily manipulated and being the “showcase index†probable massaged more than any other index, so it is not my favorite. Nevertheless it is the bell-weather indicator. Surprise, surprise, it is identical to all the others. See below.
Now simple because all indexes appear to be , more or less , at the same stage or phase in the cycle, does not imply that the analysis is more correct. It is like practice – doing the same thing over and over again – does not make you any better if what you are doing is the wrong thing in the first place.                                                                                                                                                                                                                                                                                Today’s Toronto Star, perhaps not the preeminent authority on matters financial but at least a little more open-minded to concepts that are not rabidly capitalist and politically to the right of Idi Amin and therefore well worth reading,  if only as an antidote, features Bill Carrigan’s “Getting Technicalâ€. I am not sure exactly what he is saying, but it is about EW and I take it that he believes that we are already in wave 1 up. Fair enough, this is what makes markets. Also he sees EW as an extension of Dow Theory and EW as “technical†analysisâ€. (one could argue both points, but that is not now the point).
He says, I quote verbatim - “The reality here is that any portfolio manager or investment advisor who does not use technical analysis (presumable EW included) to support investment decisions will not survive in this businessâ€.       Now that is food for thought !
Until recently, it was the other way around, perhaps the tide is turning.