medium · Elliott Wave Theory

In a double three labeled W-X-Y, W is a zigzag and Y is a flat. An analyst argues the combination is invalid because the two corrective patterns differ in type.

Why is this objection wrong, and what is the single hard constraint that actually governs W and Y?

  1. The objection is wrong because W and Y may be different corrective types; the binding rule is that neither W nor Y may itself be a multiple (double or triple) three
  2. The objection is correct because every component of a valid double three, including both W and Y, must share the exact same corrective pattern type throughout the whole structure
  3. The objection is wrong, but the only real constraint offered is that X must always take the form of a zigzag pattern retracing more than the full extent of W
  4. The objection is wrong; the binding rule is instead that Y must always travel farther in price than W did, since that is what confirms the combination's overall trend direction

Sign up free to see the explanation and track your rank →

More Elliott Wave Theory practice

KomFi Academy — Stop doomscrolling. Get KomFi.

Build your intelligence, anytime, anywhere.

KomFi Academy is a curated training platform with 54,000+ practice questions, 20,000+ flashcards, on-demand video lectures, podcasts, and 4K slide decks across the topics serious professionals study: GMAT, LSAT, MCAT, Investment Banking, Private Equity (LBOs & PE math), Private Credit, Quantitative Finance, Financial Accounting, Asset- Backed Securities, Volume Profile Analysis, Order Flow Trading, Market Microstructure, Volume Spread Analysis, Elliott Wave Theory, Volume-Price Analysis, and Public Offering Frameworks.

What's inside

Topics

View pricing · Read testimonials