Education chart - SIMPLE ZIGZAGS in WXY DOUBLE ZIGZAG

Mar 30

I started to assemble own ibrary of ElliottWave patterns and rules.

Here simple zigzags occured in: wave W and wave Y of WXY double zigzag

Zigzag 1 - wave W
Wave A - leading diagonal
Wave B - double zigzag
Wave C - ending expanding diagonal ending at the top line of the parrallel channel

Zigzag 2 - wave Y
Wave A - impulse
Wave B - double zigzag
Wave C - ending expanding diagonal ending at the middle of the parrallel channel


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## Rules for Simple ZigZag

- Subdivide into three waves.
- Wave A is always an impulse or leading diagonal (expanding or contracting)
- Wave C is always an impulse or ending diagonal (expanding or contracting).
- Wave B is any corrective pattern.
- Wave B never moves beyond Wave A start
- Wave B always ends in Wave A territory
- Wave A and C cannot be both diagonals of the same type (contracting/contracting or expanding/expanding), other combinations are possible

## Norms
- Waves A and C are frequently impulse waves but even more often they alternate between impulse and diagonal modes. Waves A and C may occasionally alternate between contracting and expanding diagonals
- Waves A and C cannot be diagonals of the same type
- Wave C must travel past Wave A's top. In Elliott Wave Theory, failure to do so is referred to as truncation
- Wave C should not go below 90% of Wave A

## Guidelines

- Wave C is typically equal to 0.618 (occasionally 1.618 or 2.618) of wave A
- Wave B typically retraces 38-79% of Wave A
- in case B is a triangle it retraces **38-50%** of Wave A
- in case B is a running triangle, the retracement can be **10-40%**
- in case B is zigzag, the expected retracement is **50-79%**
- The parallel channel that connects Wave A's start and Wave B's finish may provide a hint of where Wave C might conclude by extrapolating the other line from Wave A's end
- If waves A and C are both strong, wave C will reverse at the channel's top line
- If wave C appears weaker than wave A, it may reverse at the channel's middle
- If Wave C performs stronger than A, a double channel will be used as a target of the reversal point.

## Occurs in
Wave 2
Wave 4 (unless happened in wave 2)
Wave W, Y of WXY double zigzag
Wave W or Y of a combination
Wave B of ABC flat
Waves 1, 2, 3, 4, 5 in contracting diagonal
Wave B of ABC zigzag
Wave X of WXY double zigzag