The Elliott wave rules - Motive waves

The motive waves:

It's the pattern of the five wave, wave 2 corrects wave 1, wave 4 corrects wave 3. The sequence of wave 1 to wave 5 is corrected by the a b c sequence.
- The rules of impule wave:
  + Wave 1 can be the impulse wave, or leading diagonal triangle pattern.
  + Wave 2 cannot retrace past the beginning of the wave 1.
  + Wave 3 must be the impulse wave.
  + Wave 3 cannot be the shortest wave of three impulse wave (1,3,5). It is almost the longest wave.
  + Wave 4 cannot overlap the pick of wave 1.
  + Wave 2 and wave 4 must have the alternations (scale of price or the patterns).
  + Wave 5 can be the impulse wave or diagonal triangle pattern.

elliott+wave


The extentions:

    The extentions are the elongated impulse waves with exaggerated subdivisions. It only appears on one of the impulse waves. Most extensions occur in the 3rd wave.

Wave+extension

The truncations:

   The truncations is the situation that the 5th wave cannot move beyond the end of the 3rd wave. It often occurs following the strong extension of the 3rd wave.
failure+of+the+fifth+wave
The ending triangle ( 3-3-3-3-3)

   The ending triangle is the special type of motive wave, not yet the impulse wave. It take a wedge shape pattern with two converging lines, with each subwave subdividing into 3 wave.
You can see it in the image below:
diagonal+triangle

The leading triangle (5-3-5-3-5)

   The leading triangle pattern is a special type of motive waves too, but the structure is not the same with the ending triangle. The 1st, 3rd, 5th wave of the leading triangle subdivide into 5 wave.
leading+diagonal+triangle






No comments :

Popular Posts

Loading...
.com/blogger_img_proxy/ Forex indicators and strategies Forex Tips - Forex Hints, Fx News, Daily Market Analysis