Eliott Wave - Adjustments

[lgigi]

I was using Eliott Wave Study on a 1 day interval.
I was watching the stock going mostly up on Eliott Wave 4.
Than suddently the graph adjust itself and it was now showing that I'm on an Eliott Wave 3 going down...
(the graph never advanced to Wave 5, it just changed)

Does anyone has info on why does it happen, and how reliable is it than to use the Eliot Waves??


* The stock ticker is NXXI and the date is Sept-06-2005
Regards,
Lgigi

[eSignal_JoeB]

Hi lgigi,

What interval length did you have the chart set on. Looking at a Daily Chart on 9/6, it showed that it pulled back on Wave 3 and reached a new high which did not validate the Wave 4 and there was no Oscillator Pullback as well.

Hope this helps and if you need further explanation, please feel free to private message me.

Thank You

[lgigi]

Interval 1 Day

I was on a one day interval
It showed that I was at Wave 4, and that it changed to a declining wave 3 (like in a type 2 trade).

Maybe the pullback was too strong for a begining of a wave for 4 going up (type 1 trade) ?

Lgigi