The nature of Elliot wave theory

For want of any authoritative means to determine the price of a underlying instrument, the market participants have to grapple with the issue of pricing it based on some tangibles, however unconvincing these tangibles may appear. A theory, especially a more or less established theory, tend to gain followers, reinforcing itself more the more people follow it. In a financial market, the market itself is the only reality, everything else, theories, rumors, news, statistics, interest rates are facts that generate perceptions in the participants only. By themselves, those news don't do anything, but the interpretation of them by participants make the wheel rotate. A rumor might do the trick as well as a fact. A bad theory might give the same effect as a good one