The book by the author D. Vozny "The Elliott Code. Wave Analysis of the Forex Market" discusses the basis of the theory of Waves, provides terminology and many models with detailed descriptions. You can also find a lot of useful information on the practical application of Elliott's principle here. Lengthy corrections, as the most complex group of models, were studied in full by Dmitry Vozny in his book “The Elliott Code. Wave analysis of the Forex market”. There is also a List of rules and guidelines for wave patterns. It is very useful when working directly on the market. In conclusion, market situations are listed that deviate from the usual rules, but encountering them is quite possible.

Dmitry Vozny - "The Elliott Code. Wave analysis of the Forex market", download the book for free
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Elliott wave analysis is a development known to most traders. This analysis can be applied to any of the freely traded assets, goods or liabilities (gold, bonds, currencies, stocks, oil and others).

This type of analysis was put forward by accountant R. N. Elliott in his 1938 monograph “The Wave Principle.”

Elliott wave analysis - the main postulates given in the book “The Elliott Code - Wave Analysis of the Forex Market”

The structure of the Forex market, like other markets, according to the postulates put forward by Elliott, has the nature of waves, which allows one to make forecasts for the further development of the situation.

At the same time, he distinguishes between “” and “bearish” market models. The main sign of a bearish market trend is the absence of sharp price quotes. In general, this model is characterized by a calmer flow of all market processes. A bullish market trend is characterized by more dynamic reactions and movements in both directions.

Elliott, developing his theory (), was based on the fact that all oscillatory movements of Forex market prices consist of 5 waves directed towards the main trend (in the figure below, indicated by numbers from 1 to 5) and three waves directed in the opposite direction to this trend (at Figure A, B, C).

This assumes that the full market cycle will consist of eight waves:

• with a bullish trend: 3 downward and 5 upward waves,
• and for bearish: 3 ascending and 5 descending.

The pattern is that after ascending waves, descending waves always appear, and then an increase occurs again.

In other words, the movement of one wave is always corrected by the movement of another.

Elliott wave analysis also involves dividing waves into "impulse" and "corrective". The first ones give the market dynamics, as they go in the direction of the main trend, giving it momentum (odd and A, C waves). Corrective waves are retracement waves, since they are directed oppositely to impulse waves (even waves and wave B).

In addition, Elliott wave analysis is based on the principle that waves are nested, that is, any wave is part of another longer wave, split into shorter ones.

To put it simply, a wave of any order will always be a “sub-wave” of another, more powerful wave. And each of these “sub-waves”, depending on the direction of the large waves, will be split into 5 and 3 waves and so on.

Wave analysis of the Forex market - the applied meaning of Elliott waves

If you follow all the rules of wave analysis of the Forex market, using the Elliott mathematical model, you can with a high probability predict how the price of a particular traded instrument will behave. But for this, traders need to have certain skills and knowledge that allow them to recognize waves, as well as their levels, that is, whether they are an impulse of a downward wave or a correction of an upward wave.

Due to the fact that the Forex market movement is not ideal, there are some failures of correctional waves relative to previous corrections. In other words, some of the odd parts may close lower than the high closing price of the previous impulse. Such distortions make identifying and detecting waves quite difficult, therefore, the fifth wave is of main interest to traders because that it is an indicator of a trend reversal.

It happens that the fifth wave can stretch out and, instead of an exemplary continuation, divide into the next five “sub-waves” of a lower degree. This indicates that the market is trending very strongly.

It should also be noted that there are cases when distorted waves continue to follow one another and become even more difficult to detect, so this system works well over long periods, but produces distortions over short time periods.

As you can see, the strength of the wave theory is its openness to knowledge, but this is also its complexity.

Book by D. Vozny “The Elliott Code - wave analysis of the Forex market”

Recently, we can observe the emergence of a huge amount of a wide variety of literature and information regarding wave analysis of the Forex market. But, despite this, this issue still remains quite relevant. The reason for this is the direct opposite of the points of view of both individual authors of books and analysts involved in, and in particular the wave theory.

Today, the only Russian researcher who studies wave analysis of the Forex market and is recognized abroad is D. Vozny. Most of his works are already recognized as one of the most important additions to Elliott wave analysis, and the new book “The Elliott Code - Wave Analysis of the Forex Market”, which can be downloaded in PDF format for free.

It should be noted that for beginners in wave analysis, it is quite difficult to independently understand the existing variety of literature, as well as learn to competently determine the directions of wave analysis that are best suited for analysis. But thanks to the fact that they can download D. Vozny’s book “The Elliott Code - Wave Analysis of the Forex Exchange” for free in PDF format, which is a kind of extended reference book for the practical use of Elliott’s theory, everything becomes much easier.

The book by D. Vozny, “The Elliott Code - Wave Analysis of the Forex Market,” is not just a statement of the fundamentals of the theory of wave construction, an entire system of their designations and one of the entire archives of wave models have been created here, with a description and indication of their properties and characteristics. We also note that D. Vozny’s book is more focused on wave analysis of the Forex market, which has its own specific features.

D. Vozny’s book “The Elliott Code - Wave Analysis of the Forex Market” is a collection into a single whole of all the main wave analysis methods used by highly experienced specialists with a detailed description of classic practical examples. Also, in addition to the classics, D. Vozny’s book also includes some new items, for example, synchronous potential extensions in 2-x active impulse waves, new types of correction models, new features and properties of existing wave models, and much more.

In a separate line, D. Vozny’s book reveals the most difficult, regarding analysis, group of models - extended corrections. The author considers not only their distinctive features and characteristics, but also their general unique properties and characteristics.

Useful tools to complement wave analysis of the Forex market

To learn how to project a price trend and turning points, the author provides all the tools necessary for this, including useful instructions regarding the alternation of corrective impulses and patterns, reveals the methodology for forming trend channels and constructing price movements, and gives recommendations on the use of indicators that recognize waves of trend patterns and turning points and much more.

A distinctive feature of the book under consideration is the construction of all the material presented in it on real examples, and not, as in other similar works, on conventional diagrams and descriptions of wave models. And this, as you understand, greatly simplifies the process of transition from theory to real trading.

Year of issue: 2006

Genre: Finance, FOREX (Forex)

Publisher:"Omega-L"

Format: DjVu

Quality: Scanned pages

Number of pages: 240

Description: Despite the fact that in recent years a lot of materials on wave theory, including in Russian, have appeared on the Internet and on store shelves, I still continue to receive letters with questions regarding various aspects of wave analysis. It would seem that all the main provisions of the wave theory have long been described in detail in the well-known and accessible literature, and all that remains is to gain experience by marking graphs and going through suitable marking options, but letters with questions continue to come. Apparently, confusion in the minds of traders is brought not only by the diametrically opposed points of view of individual authors of books on technical analysis on the theory of waves in general, not only by different directions in the development of the theory itself, but also by the subjectivity of the presentation of wave markings, caused by insufficient formalization of the Elliott Wave Law. Moreover, different financial markets have their own individual characteristics, which also makes it difficult to unify the wave analysis process. Unfortunately, in the well-known literature there are not many markings of real graphs with detailed analysis and analysis that could be used as visual aids. A pleasant exception are books by Robert Prechter, focused on the stock market. One of his latest works, Beautiful Pictures, includes not only detailed markings of the DJIA stock index since 1932, but also examples of calculations of project goals.
True, not every novice wave analyst will be able to independently understand all this diversity of literature and opinions, identify the direction of wave analysis with which he will feel most comfortable, which is best suited for analyzing and forecasting financial markets. That is why for a long time I had the idea of ​​writing a reference guide for analysts and traders who are beginning to be interested in wave analysis. Of course, I did not set myself the task of writing a “comprehensive encyclopedia” on all aspects of wave analysis. Such exhaustive work is currently hardly possible for many reasons, including objective ones. But to put together the main methods of leading experts in wave theory and to consider in as much detail as possible practical examples of classical wave analysis and forecasting in relation to the international currency market FOREX is a difficult task, but quite feasible. Moreover, after the publication in 1978 by Alfred Frost and Robert Prechter of the most complete description of the Elliott Wave Law in the book of the same name Elliott Wave Principle, new theoretical materials and even new varieties of wave models appeared, which have not yet been combined by any collection.
Unfortunately, wonderful books on wave analysis published in the 70-80s. last century, according to which most modern wave specialists studied, have changed little since their publication. At the same time, wave theory and practice did not stand still, since not only new varieties of wave models appeared, but also other approaches to designing price movements. This was the reason for a critical re-evaluation of the basic course and its addition with modern developments. In addition, the international currency market FOREX (Forex) is currently becoming increasingly popular among private traders, which, from the point of view of wave theory, undoubtedly has its own individual characteristics.
That's why the new book is an expanded reference guide to the Elliott Wave Law and its practical application in the FOREX market. It not only outlines the basics of constructing waves and a harmonious system for their designation, but also presents the most complete catalog of wave models currently known, and their characteristics and properties are described in detail
In addition to well-known classical materials, the catalog of wave models includes:
possible extensions in two active impulse waves simultaneously;
new features and properties of previously known models;
new types of correction models;
a new classification of correction models not only according to the internal wave structure, but also according to their tasks.
Particular attention in the book is paid to the most complex group of models - extended corrections. Not only the differences in their characteristics are considered, but for the first time in wave analysis their common unique properties are given
To design price movement and turning points of wave models, the necessary wave tools are presented. It includes:
full series of Fibonacci ratios;
Alternation instructions for impulses and correction patterns;
methodology for constructing trend channels;
recommendations for using indicators to identify waves and turning points of trend patterns;
three main methods for designing price movement. Application in the real market of this entire arsenal of auxiliary
means are discussed in detail using practical examples. Basic methods for designing price movement within a separate wave model allow you to determine:
correction depth based on the previous trend (trend -> correction);
price movement based on the ratio of waves of the same type:
trend length based on the previous trend (trend -> trend),
correction depth based on the previous correction (correction -> correction);
trend length based on the previous correction (correction -> trend). To demonstrate the correspondence of the calculated wave ratios to the real ones
The values ​​in almost all the graphs of the book indicate the true proportions of wave patterns. For this purpose, the author’s system for designating the proportionality of waves has been introduced, which allows one to obtain a transparent and visual representation of the relationship between the internal waves of the model simultaneously according to the three main calculation methods presented in the book.
In addition to the basic theoretical material on the Elliott Wave Law, a general List of rules and guidelines for wave patterns has been compiled. And in the final part of the book, entitled “Theory and Reality”, possible exceptions to the rules for constructing wave models are discussed in detail, that is, those main wave anomalies are discussed, the occurrence of which is not excluded in the real FOREX market. These primarily include:
intersection of the main waves within the pulse;
lack of intersection of the main waves inside the diagonal triangle;
the shortest third wave of impulse and diagonal triangle;
horizontal triangle as the second wave of the impulse
In the appendices of the book you can find not only a list of the creative heritage of the discoverer of the Law of Waves, a list of literature on wave theory in Russian and English, but also the author’s answers to frequently asked questions.
A distinctive feature of the new book on wave analysis is that all the material from beginning to end is built on real examples, and not just on schematic representations of wave models, which greatly facilitates the transition from studying theory to independent practical work.
The book “The Elliott Code: Wave Analysis of the FOREX Market” is intended for analysts and traders who are interested in Elliott theory and forecasting financial markets based on wave analysis
At the same time, I would not like to turn the book into a manual for beginners who first turned their attention to financial markets. Therefore, I hope that the reader is already familiar with the basics of constructing various types of price charts, the basics of technical analysis and has a general understanding of the international currency market FOREX (Forex). Book's contents

METHODS FOR FORECASTING FINANCIAL MARKETS
WHAT IS ELLIOTT'S LAW OF WAVES
GENERAL REMARKS
Abbreviations used in the book
ABC OF THE LAW OF WAVES
1.1. Wave Definition
1.2. Methods for plotting waves on charts
13. Full price cycle
1.4. Wave fractality
1.5. Wave levels
1.6. Wave notation
CATALOG OF CURRENT WAVE MODELS
2.1 Pulses
2.2. Extensions
2.2.1. Extension in the third wave of the impulse
2.2.2. Extension in the fifth wave of the impulse
2.2.3. Extension in the first wave of the impulse
2.2.4. Extension in two pulse waves
2.2.5. Extension within extension
2.3. Diagonal triangles
2.3.1. Wedges (initial diagonal triangles)
2.3.2. Diagonal triangles (end diagonal triangles)
2.4. Truncations
CATALOG OF CORRECTION WAVE MODELS
3.1. Single zigzags
3.2. Planes
3.3. Double and triple zigzags
3.4. Combinations (double and triple triplets)
3.5. Horizontal triangles
3.6. Shifting patterns and truncation in corrections
3.7. Slanted triangles
3.8. Basic signs and properties of extended corrections
3.9. Clarification of the names of some zigzag patterns
3.10. Wave style (models)
ADDITIONAL TOOLKIT
4.1. Number series and Fibonacci ratios
4.2. Alternation instructions
4.2.1. Alternation in pulses and diagonal triangles
4.2.2. Alternation in correction models
4.3. Building trend channels
4.3.1. Constructing channels in pulses and diagonal triangles
4.3.2. Constructing channels in correction models
4.4. Mutual proportionality of waves
4.4.1. Determining the correction depth based on the previous trend
4.4.2. Designing price movement based on the ratio of waves of the same type
4.4.3. Determining trend length based on previous correction
4.5. A few words about the projections of wave endings in a pulse
4.6. Relative strength index in trend channels
4.7. List of rules and guidelines for wave patterns in the FOREX market (Forex)
4.7.1. Impulses
4.7.2. Wedges
4.7.3. Diagonal triangles
4.7.4. Zigzags
4.7.5. Planes
4.7.6. Double zigzags
4.7.7. Triple zigzags
4.7.8. Double threes
4.7.9. Triple threes
4.7.10. Converging triangles
4.7.11. Divergent triangles
4.7.12. Slanted triangles
4.8. Brief summary
THEORY AND REALITY
5.1. Possible exceptions to the rules
5.1.1. Intersection of fundamental waves within an impulse
5.1.2. Absence of intersection of the main waves of the diagonal triangle
5.1.3. The third wave of the impulse (diagonal triangle) is the shortest
5.1.4. Horizontal triangle as the second wave of the impulse
5.2. Real examples of analysis and forecasting
5.2.1. Wave Top Design 2 of (3)
5.2.2. Wave Top Design 3 of (3)
5.2.3. Wave Top Design 5 of (3)
5.3. Brief summary or what is not included in this book
APPLICATIONS
Appendix 1. Brief biography and creative heritage of R.N. Elliott
Wave law after Elliott
Appendix 2. List of basic literature
Appendix 3. Answers to the most frequently asked questions
Recommended reading on wave theory
Glenn Neely's book on wave theory
Programs for automatic wave marking
Key pulse points
Bifurcation
Trading systems based on Elliott waves
The intersection between the fourth and first waves of the impulse
Is a triple zigzag or horizontal triangle a "three"
Differences between the FOREX market and the stock market from the point of view of EWA
LITERATURE FOREX (Forex)

Today, the Forex market is the largest in the world in terms of money turnover, amounting to trillions of dollars per day. This makes it possible to rapidly develop technologies that facilitate greater access to the market. If, say, 10-15 years ago, working on the international foreign exchange market was mainly available to individuals with large capital, as a rule, law firms, banks, concerns, but today Forex is available to everyone.

But this does not mean that you, having no idea about the functioning of financial markets, can immediately start earning colossal amounts. Against. To minimize any risks, a trader needs to work taking into account a well-built system of risk management and money management. It is rational to correlate the degree of risk to the amount of available capital and the willingness to use this capital to generate income of a certain amount. And to do this, you need to know how the market will behave at one time or another, why such a trend has developed for a particular currency now, what and how affects price movements, etc.

Simply put, a professional trader needs to own a huge layer of information, including fundamental, technical, and wave analyses. Without an understanding of analytics, the inability to work with indicators, charts, economically significant data, without psychological balance and relying solely on yourself in making trading decisions - without all this you are unlikely to become a successful trader.

But to fully study the specifics of the Forex market, it takes a lot of time. Not everyone has it, and independent education is fraught with misunderstanding of the material being studied. Is there a way out of this situation?

Yes, the way to master the financial markets as quickly and most effectively as possible today is offered by the brokerage company RoboForex, a recognized leader in the field of automated Forex trading, a company that is a flagship in the market of innovative Forex technologies, constantly introducing unique services and products.

“Exchange Leader” previously reported on a relatively new vector of activity for this broker - the implementation of an educational project, which includes, among other things, a series of unique webinars, hosted by the company’s teachers, well-known practicing traders and analysts throughout the financial world. It is thanks to RoboForex webinars that many inexperienced beginners today successfully work in the Forex market.

You can learn more about this from the material. And now we bring to your attention an exclusive interview with one of the most famous wave analysts and practicing traders, RoboForex webinars Dmitry Vozny.

Help from the Exchange Leader

Dmitry Vozny is a wave analyst and practicing trader. At one time, I discovered the existence of a new wave model, as well as the presence of a group of extended horizontal corrections, united by common unique properties. Author of numerous articles, the book “The Elliott Code” and the computer program “Study of parameters of trading systems in the FOREX market.” Translated into Russian books by such authors as R. Elliott, A. Frost and R. Prechter, R. Balan. In 2012, he held an almost two-month public trading session based on his own forecasts, openly published on the Internet: he managed to double the initial deposit three times in a row.

Dmitry Vozny: successful trading is based on a systematic approach

"Exchange Leader": Dmitry, hello! Your name is known to most Forex traders. It can be assumed that many of them would like to attend seminars or conferences with your participation, learning from you the secrets of successful trading in the market. You are currently collaborating with RoboForex as a leading analyst. Tell me why you chose this company?

Dmitry Vozny: Good afternoon. Thanks for the kind words. I have been working as an analyst at RoboForex for about a year and am happy to share my knowledge and best practices with beginners. The choice of this reputable company was not accidental on my part: the dynamically developing company RoboForex is widely represented in Russia and abroad, has a clearly formulated goal, an optimal business model with straight-through processing of customer transactions and a free VPS server for automated trading. All this speaks of the stability, viability and prospects of RoboForex, which is confirmed by its numerous and well-deserved awards among brokers.

In addition, for me, as a wave specialist with 15 years of experience, it is especially pleasant that a lot of attention is paid to classical wave analysis in the analytical department under the leadership of Andrei Goylov.

"Exchange Leader": In your opinion: does the future of successful trading lie solely in wave forecasts?

Dmitry Vozny: Of course not. Successful trading is based primarily on a systematic rather than a spontaneous approach to trading. What underlies the system itself, each trader must determine independently, depending on his knowledge, preferences and even character. One trader can successfully use Elliott Wave Theory (WTE) as the basis of his system, another can use a set of certain indicators, and a third can use fundamental analysis. But only one whose trading strategy (TS) shows stable statistical results can become a successful trader in the long term.

"Exchange Leader": Is it possible to construct a model that will accurately predict the direction of the trend in the short and long term with minimal errors, taking into account potential reversals, the expected reaction to important news, etc.?

Dmitry Vozny: If we are talking about the financial market model as a whole, then from my point of view it is incredibly difficult and almost impossible at the present time.

If you mean a certain wave model, then, despite the power and flexibility of the Elliott wave theory as a tool for analyzing and forecasting financial markets, by definition there cannot be such graphical models that would give a 100% error-free forecast. The fact is that VTE is not formalized enough, and this is what makes the analyst’s assessment of the current wave pattern subjective and ambiguous. In addition, the patterns of construction and alternation of wave patterns within the framework of VTE are based on statistics - the vast majority of price figures on any financial chart comply with the rules of wave analysis. However, occasionally there are graphic figures that do not fit into the set of rules and are exceptions, adding their own fly in the ointment to the VTE barrel.

"Exchange Leader": Please tell us what exactly do you cover in your webinars?

Dmitry Vozny: I try to convince listeners that only a systematic approach to trading in financial markets can be successful in the long term. Based on my own practical experience, I show what needs to be supplemented with VTE in order to independently create a profitable trading strategy based on it, how you can minimize losses and increase profits. In addition, I show with practical examples what mathematical criteria any vehicle must meet in order to be profitable.

"Exchange Leader": Do you, as a successful Forex trader and researcher, give recommendations on the use of certain trading strategies?

Dmitry Vozny: Not certainly in that way. I share with listeners some basic algorithms for opening, closing and protecting positions, ways to determine the initial volume of a position and its further manipulation, allowing you to minimize losses and increase profits. These methods, like the building blocks of trading in financial markets, can be used to build your own trading strategies. In addition, using practical examples, I show what stages a trader needs to go through to create a trading strategy, what mathematical criteria it must meet in order to bring stable profits over a long time. That is, I put into the hands of listeners the tools that help them create their own vehicles.

"Exchange Leader": What does automated trading mean to you? Elder, for example, compared MTS on the stock exchange with an autopilot on an airplane: at a certain point the plane flies without human control, but without a person it will not take off or land. Do you agree with this definition?

Dmitry Vozny: In Elder's time this may have been true. I believe that the best modern mechanical trading strategies (MTS) can perform the “flight” from start to finish on their own. But, in any case, MTS are designed, created and taught to “fly” by people - on this I agree with Elder.

"Exchange Leader": It is known that RoboForex is one of the most progressive brokerage companies, which constantly introduces innovative technologies, improving the conditions for trading with computerized programs, MTS, robots, and advisors. In your opinion, how will such global computerization affect newcomers who are so fond of having their advisors do all the calculations for them, and having indicators tell them when to enter or exit the market?

Dmitry Vozny: I have always been impressed by the creative approach in any process. If an advisor is created by a trader independently, then he has a creative approach to automating his work, and this is worthy of respect. If a beginner thoughtlessly uses someone else’s advisor or indicator in his work, without understanding the physics of the internal process, then he simply becomes an appendage of this program, a dead-end branch in its development.

"Exchange Leader": Do you personally use mobile devices, web platforms, multi-terminals, etc. for trading?

Dmitry Vozny: I use everything except the multi-terminal, but mobile devices only when absolutely necessary, as I prefer comfortable trading conditions and a good overview of the charts.

"Exchange Leader": How important, in your opinion, is the human factor when working with automated trading systems? Should a trader monitor their work or is this not necessary?

Dmitry Vozny: I sincerely believe that any automated systems are created to exclude human participation in their work or, at least, to minimize his participation. Agree that an automated trading system or MTS is just a program created by a person. If the program is written correctly, then it should contain a developed system of self-control and processing of any situations. Therefore, after debugging and commissioning of such an MTS, additional control is not needed.

Another thing is that control is needed over the state of the Internet connection and over the personal computer on which the trading platform running MTS is running. To eliminate this headache, RoboForex provides its clients with a remote VPS server.

"Exchange Leader": After your webinars, you send your audience your original program. Please tell us about her.

Dmitry Vozny: This is one example of automation of a trader’s work. The program is based on the well-known method of Ralph Vince, which allows, based on the results of testing a vehicle on historical data, to determine its main parameters and assess the feasibility of its use in the real market. In addition, if the answer to the first question is positive, the program allows you to select the most effective capital management algorithm within the framework of this method

"Exchange Leader": Of course, many people cannot help but be interested in what your success is in the market at present.

Dmitry Vozny: The progress is positive. Modest but stable. A year ago, I organized a public trading session using my wave forecasts, openly published on the Internet, and managed to double my trading demo account three times in a row within almost two months.

"Exchange Leader": Dmitry, personally, what assets do you prefer to work with and why exactly with them?

Dmitry Vozny: I continue to work with the most liquid currency pairs on the Forex market. Firstly, the Forex market is trading 24 hours a day, and this suits my lifestyle - constantly being on the Internet. Secondly, liquid currency pairs have a minimum spread, which means minimal losses when making a transaction. Thirdly, each market and even each financial instrument has its own characteristics, and I have been working in the Forex market for a long time and am well acquainted with its “tricks”.

In addition, as an experiment, I’m trying to get a win-win symbiosis of vanilla options strategies and a wave pattern on my test account. To increase clarity and automate the experiments, I even had to write a small research program for myself.

"Exchange Leader": What do you think will happen to the major currency pairs by the end of 2013? Which ones will strengthen their positions, which ones will weaken?

Dmitry Vozny: Currently, there is a relative balance of power between the currencies of leading countries and the US dollar. I do not rule out that this balance may remain until the end of 2013. In any case, you can always find my subjective forecasts on the RoboForex website.

"Exchange Leader": And finally, what would you wish to novice traders who are going to take their first steps in the Forex market?

Dmitry Vozny: Let them not count on quick and easy success. Trading in the FX market is hard work and is another profession that you can master for the rest of your life.

The only Russian researcher of wave analysis recognized abroad is Dmitry Vozny. All of his work was recognized as an important addition to Elliott's theory. Vozny's new book, The Elliott Code, is no exception.

Despite the fact that a lot of different information and literature on wave analysis has recently appeared, this issue remains relevant. The probable reason for this state of affairs lies in the diametrically opposed points of view of individual analysts and authors of books on the topic of technical analysis and, in particular, the theory of waves. In addition, according to Dmitry Vozny, wave analysis has several different directions, which causes insufficient formalization of the law of waves and, consequently, a greater degree of subjectivity in the analysis of wave markings. Moreover, different financial markets have their own individual characteristics, which also complicates the unification of wave analysis.

In the literature there are very few layouts of real graphs with detailed analysis that could be used as visual aids. An exception is R. Prechter's books on the stock market; for example, one of his latest works includes not only detailed markings of the DJIA stock index since 1932, but also samples of calculations of project goals. But after the publication of the book “The Elliott Wave Principle” in 1978, which contained the most complete description of the law of waves, new materials and varieties of wave models appeared, which have not yet been united by any collection. Over 35 years, wave theory and practice have undergone significant changes: new types of wave models have appeared, and methods for designing price movements have changed. All this necessitated a critical revision of the basic course, as well as its addition with modern developments.

About the book by D. Vozny - "The Elliott Code: Wave Analysis of the Forex Market"

It must be said that it is quite difficult for novice wave experts to independently understand the diversity of opinions and literature, to correctly determine the direction of wave analysis with which they will be comfortable working and which is best suited for forecasting and analyzing financial markets. It is for this purpose, to help beginners in wave analysis, that D. Vozny wrote his book, which is an extended reference guide on the practical application of Elliott waves in Forex.

In his book on wave analysis, Dmitry Vozny not only outlined the basics of constructing waves, he created a harmonious system of their designation and the most complete catalog of wave models indicating and describing their signs and properties. In addition, D. Vozny’s book is focused on the increasingly popular Forex market, which has its own specific features.

As Dmitry himself states, he did not set himself the goal of creating a “comprehensive encyclopedia” on every aspect of wave analysis. Today, such exhaustive work is hardly possible at all for many reasons. But collecting into one whole all the main methods of highly experienced specialists in wave theory and examining in detail in practice the classic examples of wave forecasting and analysis of the Forex market is a completely feasible task.

In addition to the already well-known classic materials, Dmitry Vozny included the following new items in his book:

• potential synchronous extensions in 2 active impulse waves;
• improved classification of correction models not only according to the characteristics of the internal wave structure, but also according to the tasks of these models;
• new properties and features of already known models;
• new types of correction models.

Dmitry Vozny paid special attention to the most difficult group of models to analyze - extended corrections. The book examines not only the differences in their characteristics, but also their common unique characteristics and properties.

To design price movements and turning points, all the necessary wave tools are presented:

• complete series of Fibonacci numbers;
• instructions for alternating correction patterns and impulses;
• methods for forming trend channels;
• recommendations for using indicators to recognize turning points and waves of trend patterns;
• three basic techniques for constructing price movements;
• Using practical examples, the use of the entire arsenal of auxiliary tools in real markets is examined in detail.

Basic techniques for designing price movements within a wave model make it possible to establish:

• depth of corrections based on the previous trend (trend → correction);
• price movements based on the ratios of waves of the same type: the length of the trend is established according to the previous trend (trend → trend), and the depth of corrections according to the previous correction (correction → correction);
• The trend length can also be set based on the previous correction (i.e. correction → trend).

To demonstrate the correspondence between the calculated wave magnitudes and the real ones
values ​​in almost all graphs D. Vozny indicated the real proportions of wave models. It is for this purpose that Dmitry Vozny introduced into wave analysis his own system of notation for wave proportionality, which makes it possible to obtain a fairly transparent and visual image of the relationships between internal waves synchronously using three basic calculation methods. As a supplement to the main theoretical material, the book contains a unified list of rules for wave models.

The final part of the book, “Theory and Reality,” contains a detailed discussion of possible exceptions to the rules for the formation of wave patterns, and discusses the main anomalies that can be found in the real Forex market. Such anomalies primarily include:

• the occurrence of intersections of the main waves within the pulse;
• absence of intersections of the main waves inside Diagonal Triangles (diagonal triangle);
• the emergence of a short third wave of Diagonal Triangles and impulse;
• presence as the 2nd wave of the Horizontal triangles impulse.

In the appendices D. Vozny included a list of literature in English and Russian and his answers to frequently asked questions.

A distinctive feature of this book on wave analysis is that all material is built from beginning to end on real examples, and not on the usual schematic description of wave models. This greatly simplifies the transition from studying theoretical foundations to independent work in the real market.

First of all, this book is of interest to traders and analysts interested in Elliott theory and the analysis of financial markets using wave analysis. Despite the fact that the book is aimed at beginners, readers who first turned their attention to wave analysis will find it quite difficult to understand. Dmitry Vozny emphasizes that when working on The Elliott Code, he was counting on an audience of readers who have at least a general understanding of the wave theory of technical analysis and the Forex currency market, and are also familiar with the construction of price charts of various types.