medium · Elliott Wave Theory motive
An analyst observes a rally starting at P₀ = 52.00 reaching P₁ = 61.00, correcting to P₂ = 55.50, and then surging to P₃ = 74.00.
If a subsequent pullback P₄ reaches 60.50, why is this structure no longer a valid standard impulse wave?
- The second wave retraced more than 61.8% of the first wave.
- The third wave is shorter than the first wave in total price distance.
- The slope of the second wave is steeper than the slope of the fourth wave.
- The fourth wave has entered the price territory of the first wave.
Sign up free to see the explanation and track your rank →
More Elliott Wave Theory motive practice
- In a five-wave advance, Wave 1 is 10 points long, Wave 3 is… — How should this count be co
- If Rule 3 must be satisfied, what is the highest price Wave 4 can reach?
- An analyst identifies a 5-wave pattern where Wave 4 overlaps… — Where is this pattern most
- When analyzing an Ending Diagonal, what is the 'Slope Comparison' requirement for confirmi
- If Wave 3 reaches $160.00, which of the following price levels would invalidate the impuls
- You observe a five-wave motive move in a wedge shape where W… — Where in the larger trend
- What is the 'Orthodox Extreme' in a five-wave impulse that ends with a truncated fifth wav
- If the next correction drops the price to $118 before a final rally to $180, why is this c