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The Elliott Wave Theorist 
November 1983 
Now it's time to attempt a more precise forecast for bond prices. Wave (a) in December futures 
dropped 11¾ points, so a wave (c) equivalent subtracted from the wave (b) peak at 73½ last month 
projects a downside target of 61¾. It is also the case that alternate waves within symmetrical triangles 
are usually related by .618. 
.
As it happens, wave [B] fell 32 points. 32 x .618 = 19¾ points, which 
should be a good estimate for the length of wave [D]. 19¾ points from the peak of wave [C] at 80 
projects a downside target of 60¼. Therefore, the 60¼ - 61¾ area is the best point to be watching for 
the bottom of the current decline. [See Figure B-14.] 

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Figure B-14 
April 3, 1984 [after (b) ended in a triangle] 
The ultimate downside target will probably occur nearer the point at which wave [D] is .618 times as 
long as wave [B], which took place from June 1980 to September 1981 and traveled 32 points basis 
the weekly continuation chart. Thus, if wave [D] travels 19¾ points, the nearby contract should bottom 
at 60¼. In support of this target is the five wave (a), which indicates that a zigzag decline is in force 
from the May 1983 highs. Within zigzags, waves "A" and "C" are typically of equal length. Basis the 
June contract, wave (a) fell 11 points. 11 points from the triangle peak at 70¾ projects 59¾, making 
the 60 zone (+ or - ¼) a point of strong support and a potential target. As a final calculation, thrusts 
following triangles usually fall approximately the distance of the widest part of the triangle (as 
discussed in Lesson 8). Based on [Figure B-15], that distance is 10½ points, which subtracted from 
the triangle peak gives 60¼ as a target. 
Figure B-15 

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