One Of My Most Valuable Tools In Analyzing Trends

Want to know when a downtrend may be coming closer to its end? Or how about when an uptrend may be nearing its end?

Check out the recent video I just filmed where I talk about ways to quantify the stages of each uptrend and downtrend and the sentiment associated with each of those stages.

This is just one piece of my triangular, three-pronged approach to investing. The first and most important facet to measure is the fundamental strength of a company and its valuation. Secondly, we can look to the charts also known as technical analysis. And thirdly, we can assess the sentiment of the masses.

Well, what I like about the tool that I'm sharing with you today is that it assesses the latter two and even helps us to know when a stock or index could potentially be trading at a fundamental value or when that same asset may be overpriced.

So check out today's video. I believe you're going to enjoy it.

God bless!

When I first saw this video Sean, I didn't realize that there were 3 waves a, b & c within waves 2 & 4. I just picked that up after watching the video a 2nd time. It definitely pays to watch the video multiple times!

That's the most common pattern in waves 2 and 4. But there can also be a sideways a-b-c-d-e move that can form a triangle or rectangle sideways pattern, etc. I'm glad you're enjoying these videos. Awesome!

Here are examples of triangular a-b-c-d-e formations from Robert Balan's book The Elliott Wave Principle.

Sean, can you give an estimate of how many professional brokers and Wall Street types value and utilize Elliot Wave Theory? Just curious. Thanks a lot. I have learned a lot from you over recent years. I would put this video near the top of your educational offerings.


I don’t know other than to say it’s likely a large number. Anyone with a CMT designation would be exposed to it at least and those in the MTA (Market Technicians Association) would be exposed to it. It’s really more the study of the phases of mass psychology as it concerns the financial markets, more than anything. That’s why it works.