hard · Elliott Wave Theory
Within a developing impulse, wave 1 of a lower degree is itself an impulse and wave 4 of that same degree overlaps it. An analyst argues this is fine because 'the diagonal exception allows overlap.'
For this defense to be legitimate, which condition must additionally hold?
- The overlapping structure must be the very first wave (a leading diagonal) or the very last wave (an ending diagonal) of the larger sequence, not a middle wave
- The overlap is permitted in any impulse position provided wave 3 remains the longest and wave 2 does not retrace beyond wave 1's origin
- The structure must subdivide 5-3-5-3-5, since diagonals require all five sub-waves to be impulsive five-wave forms
- The overlap is only valid if wave 4 alternates in form with wave 2, the rule of alternation being what licenses the diagonal exception
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