When the currency market is trending in peaks, a 5 wave pattern that has 3 separate moves in peaks and 2 separate moves downwards before a top happens.  In the meantime, when the currency market is going downward, a 5 wave pattern that has 3 separate moves downward and 2 separate moves upward before a bottom happens. Repetition of trends is studied for a currency pair by comparing past occurrences of such waves for a probable recurrence in the existing trend.
The Elliot Wave Theory is based on the momentum marketing concept.  Past year charts are analyzed using concepts from Elliot Wave Theory.  The kind of bottom met by the market in a particular period is marked followed by marking of moves upward the time span that has been required in the past to complete the 5 wave pattern is noted and it is compared and predicted with the current trend accordingly.
The upward and downward movement of the waves in the Elliot Wave Theory is another interesting tool to analyze market trends that helps the end user to determine how bottom or top markets are neared.
A person or firm that offer liquidity making two-sided prices of bids and offers in the market is known as a market maker.

Market makers have a close focus on analysis tools like the Elliot Wave Theory, Fibonacci series etcetera and they create a lot of artificial trends in a highly volatile market in a way to liquidate securities or to make investors purchase securities.  They are pretty well aware of the reactions that investors might give away to a particular technical or fundamental analysis.

Based on the speculated response with such analytical tools, they analyze and learn the past trends of people and they tend to create an artificial market situation by making bids and offers in a way to create a forecast that will make the other investors to behave in a way that it is favorable to the market maker.

Market makers usually do have a firm bid and ask price and when these prices are not met they make such buying and selling from their own account, thereby creating a trend level that others might follow.  So, apart from understanding market tools you need to understand the market maker psychology also.