See How Elliott Waves Help You Avoid “Getting Married to the Trend”
Most investors make the mistake of linearly extrapolating a financial trend into the future, especially at junctures when that trend is near a turn.
In everyday terms, it’s called “getting married to the trend.”
Here’s what Elliott Wave International President Robert Prechter said in his book, Prechter’s Perspective:
Seeking Certainty in Uncertain Times? Draw a Trendline | Learn How
Trendlines are simple straight lines connecting two price extremes on a chart. When you draw more than one, you create a so-called trend channel and see both the future trend and trend reversals.