tridean
Jedi Master
Hi All,
One of the questions that never really got answered for me while reading Riding the Wave was what the 3-5 code is/was/meant to be.
I actually did a search first and there seems only one thread on the subject and still that had no definitive answer, only theories.
As it is, I do have a theory and it came to me when I first read http://www.cassiopaea.org/cass/wave13.htm, but I thought it silly and just hoped that a better theory would be told.
Anyway, if there is a solid theory, could someone point me to it; if not, my first thoughts when reading Laura's account with the C's was that it related to a form of cycle which is used and applied by some market technicians (including me), called Elliott Wave Theory.
The theory in it's simplest form takes the form of 5 waves up (each wave alternates though so wave 1 is up, 2 down, 3 up, 4 down, 5 up), and then 3 waves down (again alternating, wave A down, wave B, up, wave C down).
The 5 waves up are always in total, longer than the 3 waves down. A completed 8 waves completes the sequence and then it starts over again.
Each wave is also a sub wave of an even bigger wave sequence, (which is termed 'higher degree), at the same time, each wave consists of a complete wave sequence within it (termed 'lower degree). So it is like those holographic images (I think that is the right term), where there is always a smaller sequence within a sequence, and each sequence is a part of a bigger sequence.
The thing is, even though the theory is applied to the general stock markets, it is also applied to humanity itself, by some of the very people who use it in the stock markets. Robert Prechter is a prime example.
To give you an idea, the period from the end of the bear market around the Great Depression (1933) to now (depending on who you read), is in the process of completing a complete sequence, 5 waves up and 3 waves down. Wave 1 from 1933 to 39 (bull market), wave 2, 39 to 42 (bear), wave 3, 42 to 66 (bull)m wave 4, 66 to 79 (bear) and wave 5, 79 to 2000, It is suggested that the first of the waves down (wave A, was the tech bust), and we are now in the wave C (the credit crisis).
If we take an even bigger perspective, a higher degree, it is suggested that a 5 wave sequence ended when the Roman Empire ended, and the dark ages that followed was a huge 3 wave down period. We are in the area where it is quite possible we are at the top of a huge 1000 year 5 wave sequence and a long and dark 3 waves are to follow, which could possible last 500 years or so.
However it doesn't stop there. Elliott wave theory, and especially Robert Prechter go into a lot of details about Fibonacci, Phi and the Golden Ratio, and how all of these, and the 8 wave sequence are related to everything in life. For example the ratio that a spiral is occurring at in nature relative to itself as it goes further out from its center, such as a pine cone, hurricane, sea horse tail, goats horn, shells, milky way etc are the same ratio from lower degrees to higher degrees in elliott wave.
As we go inwards, we have the same relative ratio, that is the higher degree to lower degree.
Some of the numbers of significance are
Fibonacci numbers 1,2,3,5,8,13,21,34,55,89,144,233,377,610,987 etc
The sum of any ten numbers is divisible by 11.
Golden Section .618 - any length can be divided in such a way that the ratio between smaller part and larger part is equivalent to ratio between larger part and whole. For example, whole is 1, larger part is .618, smaller part is .382.
.618 / 1 = .618
.382 / .618 also = .618
This ratio exists in DNA.
Golden Ratio 1.618
If we take 1 and divide it by .618 we get 1.618 (also .618/.382)
If we take any fibonacci number and divide it by the number before it we get 1.618 approx, although the further out we go the less the divergence from 1.618
At any point in the evolution of a spiral in nature (as mentioned above), the ratio of the length of the arc to its diameter is 1.618.
On the piano, 13 keys to an octave, 8 white ones, 5 black ones, all Fibonacci numbers)
So what we have is a progression within any degree being observed of 5-3, and this includes all things that progress or grow in life.
The ratios are the relationships between the degrees.
We are always either progressing or receding, but within a higher degree in which we may be progressing or receding and so on, but by the laws of elliott wave, the amount by which we recede is never more than that by which we progress, like 5 steps forward, 3 steps back.
There is quite a bot more information I have on this, but I didn't want to write too much to soon, but rather get others thoughts on it.
Dean
One of the questions that never really got answered for me while reading Riding the Wave was what the 3-5 code is/was/meant to be.
I actually did a search first and there seems only one thread on the subject and still that had no definitive answer, only theories.
As it is, I do have a theory and it came to me when I first read http://www.cassiopaea.org/cass/wave13.htm, but I thought it silly and just hoped that a better theory would be told.
Anyway, if there is a solid theory, could someone point me to it; if not, my first thoughts when reading Laura's account with the C's was that it related to a form of cycle which is used and applied by some market technicians (including me), called Elliott Wave Theory.
The theory in it's simplest form takes the form of 5 waves up (each wave alternates though so wave 1 is up, 2 down, 3 up, 4 down, 5 up), and then 3 waves down (again alternating, wave A down, wave B, up, wave C down).
The 5 waves up are always in total, longer than the 3 waves down. A completed 8 waves completes the sequence and then it starts over again.
Each wave is also a sub wave of an even bigger wave sequence, (which is termed 'higher degree), at the same time, each wave consists of a complete wave sequence within it (termed 'lower degree). So it is like those holographic images (I think that is the right term), where there is always a smaller sequence within a sequence, and each sequence is a part of a bigger sequence.
The thing is, even though the theory is applied to the general stock markets, it is also applied to humanity itself, by some of the very people who use it in the stock markets. Robert Prechter is a prime example.
To give you an idea, the period from the end of the bear market around the Great Depression (1933) to now (depending on who you read), is in the process of completing a complete sequence, 5 waves up and 3 waves down. Wave 1 from 1933 to 39 (bull market), wave 2, 39 to 42 (bear), wave 3, 42 to 66 (bull)m wave 4, 66 to 79 (bear) and wave 5, 79 to 2000, It is suggested that the first of the waves down (wave A, was the tech bust), and we are now in the wave C (the credit crisis).
If we take an even bigger perspective, a higher degree, it is suggested that a 5 wave sequence ended when the Roman Empire ended, and the dark ages that followed was a huge 3 wave down period. We are in the area where it is quite possible we are at the top of a huge 1000 year 5 wave sequence and a long and dark 3 waves are to follow, which could possible last 500 years or so.
However it doesn't stop there. Elliott wave theory, and especially Robert Prechter go into a lot of details about Fibonacci, Phi and the Golden Ratio, and how all of these, and the 8 wave sequence are related to everything in life. For example the ratio that a spiral is occurring at in nature relative to itself as it goes further out from its center, such as a pine cone, hurricane, sea horse tail, goats horn, shells, milky way etc are the same ratio from lower degrees to higher degrees in elliott wave.
As we go inwards, we have the same relative ratio, that is the higher degree to lower degree.
Some of the numbers of significance are
Fibonacci numbers 1,2,3,5,8,13,21,34,55,89,144,233,377,610,987 etc
The sum of any ten numbers is divisible by 11.
Golden Section .618 - any length can be divided in such a way that the ratio between smaller part and larger part is equivalent to ratio between larger part and whole. For example, whole is 1, larger part is .618, smaller part is .382.
.618 / 1 = .618
.382 / .618 also = .618
This ratio exists in DNA.
Golden Ratio 1.618
If we take 1 and divide it by .618 we get 1.618 (also .618/.382)
If we take any fibonacci number and divide it by the number before it we get 1.618 approx, although the further out we go the less the divergence from 1.618
At any point in the evolution of a spiral in nature (as mentioned above), the ratio of the length of the arc to its diameter is 1.618.
On the piano, 13 keys to an octave, 8 white ones, 5 black ones, all Fibonacci numbers)
So what we have is a progression within any degree being observed of 5-3, and this includes all things that progress or grow in life.
The ratios are the relationships between the degrees.
We are always either progressing or receding, but within a higher degree in which we may be progressing or receding and so on, but by the laws of elliott wave, the amount by which we recede is never more than that by which we progress, like 5 steps forward, 3 steps back.
There is quite a bot more information I have on this, but I didn't want to write too much to soon, but rather get others thoughts on it.
Dean