A very good question child exactly what are "Faery Tales"? We have all heard the phrase but what does it mean? I know not if there be a Faye old enough to truly know, for I can only tell you of the things told to me as a child. Thus here is my own Faery Tale:
For as long as there have been mortals even longer have there been the Faye or Faery. When man was young he was also very curious always asking "Why?" Never trusting but always asking! "Why is the sky blue?" , "Why is there death?", "Why is the night so dark and the day so bright?", "Why are there Gods and Goddesses?", "Why, Why, WHY!?" Always asking but never accepting the answers given to them! We Faye began to grow tired of their questions without end, and their never trusting those that were different from them. So we began creating tales that would entertain them as well as our selves. These tales would often hold hidden meanings that were above the mortals' head but were easily understood and enjoyed by the Faye who would listen and laugh with the storyteller or at the silly mortal that listened in amazement.
These tales would often contain full or half-truths or even no truths at all! Depending on the honor that the Faery saw within the mortal it was dealing with at the time. Honorless mortals became bitter about this and soon coined the phrase "Fairy Tales" meaning a tale of utter fiction and not to be relied upon nor trusted by any mortal with common since.
We soon coined the term "Faery Tale" in response as a proper spelling that meant a tale which tested the wisdom of the one it was told to. Something complicated and not easy to divine the truth in at first but if sought with honesty a truth that would in time be revealed.
Thus from what I was taught as a child, the story of the Shadow is no Faery Tale to me or any true ancient. For the truth of it is known well by all ancient elves, even if his story has become mythical and may indeed be a Faery Tale to the young, the truth is still very easy to find...
I hope this answers your query well good elv.