If you like what we do here, please click on our sponsor's banner. I suppose the problem is that we forget how confusing we found EWs at first also. Robert Precter has books on Elliott Waves, but he makes it overly complicated. Elliott Waves measure crowd behavior.
Crowd behavior is what the stock markets are all about.
Sometimes the crowd is Euphoric and sometimes the crowd gets Spooked. Sometimes it gets downright Depressed. So, the prices reflect the crowd's basic mood. If they want to buy, the market goes up. If they want to sell the market goes down.