The collision of global markets and social mood

Friday, March 17, 2017

Book Review: The Socionomic Theory Of Finance By Robert Prechter


13 years in development, The Socionomic Theory of Finance by Robert Prechter is finally available, and at 800 pages, it's a beast.

Simply put, this tome should be required reading for anyone in print or broadcast, period.

Page after page, The Socionomic Theory of Finance "rebuts conventional theory and offers ground-breaking insights in a cohesive model with real-world applications," and draws critical distinctions between finance and economics once and for all.

The Socionomic Theory of Finance refutes worn out market clich├ęs -- which oppose reality -- and supports its arguments with actual data, starting immediately with Chapter 1.

Chapter 22: Elliott Waves vs Supply and Demand: The Oil Market is worth far more than the book's price alone. Don't put another dollar on the line until you read it.

Financial markets do not tend toward equilibrium, mean reversion, and price stability in an orderly process regulated by the laws of supply and demand, but toward endogenously created subjective prices resulting from unconscious herding impulses.

In other words, markets are subject to our whims of fancy.

Socionomics is the key to decoding those whims.

Socionomics suggests that fluctuations in social mood motivate the character of social actions. Understanding the resulting waves of optimism and pessimism helps translate "whims of fancy" into probabilistic predictions.

As Prechter says, "The real world is a lab for socionomics."

The Socionomic Theory of Finance helps you understand the real world -- the way it really is.

Get ready to transform your thinking.



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