Thursday, February 26, 2009

GLD -- a 7 wave correction?

because of the dominant obsession with the Golden Number among practitioners of chart analysis you hardly ever hear anyone talk about 7 wave price formations. why is that? I can only guess because 7 is not a Fibonacci number. They're all fanatical about the number 3 and 5. 8 too.

well those are nice numbers, don't get me wrong. But in the context of human perception, the number 7 is very very special.

recently I have been working on a new method of market analysis. I am trying to apply a theory of proportion to the analysis of securities transactions. although my inquiry has barely begun, I am tempted to refer to by a fancy title -- the Theory of Catallactic Proportion. while the theory itself is descriptive, phenomenological, there may also be some practical use for it in forecasting market trends. subscribe to my daily reports to follow along as this theory develops. (use the payment button at the top of the blog.)

oh, and I almost forgot what I was posting about. one might consider the recent rally in Gold a 7 wave correction, rather than a three wave affair. does that imply anything special? well that I'm not sure of...