medium · Elliott Wave Theory
A fifth wave thrusts above the upper channel line drawn through waves 1 and 3 and parallel from Wave 2.
What does this 'overthrow' typically signify in the context of the impulse completion?
- A confirmation that Wave 3 is extending
- A 'running' correction that suggests the trend will not reverse
- A sign that the market is entering a Wave 4 correction
- A potential blow-off top or the formation of an ending diagonal
Sign up free to see the explanation and track your rank →
More Elliott Wave Theory practice
- In a five-wave advance, Wave 1 is 10 points long, Wave 3 is… — How should this count be co
- A commodity price moves from $80 to $96, pullbacks to $88, t… — If an analyst identifies t
- Which is more likely?
- According to the Swing Count Validation technique, what should the trader conclude?
- Based on common Fibonacci relationships, how far might Wave C drop from the end of Wave B?
- An analyst sees a 'Close-Below-Prior-Swing Test' fire when p… — What does this likely sign
- According to the 'Fourth-Wave Target Zone' guideline, where is a correction most likely to
- According to the Guideline of Alternation, what should you expect for Wave 4?