๐Part 5: Corrective Waves - Simple - Triangle.
Hello!
โก๏ธIn this lecture, we will cover one of the most common or popular correction options - triangles. I remind you that we are now considering various correction structures that are encountered both separately and can be part of more complex structures.
โก๏ธTriangles are probably the most popular pattern for all beginners, yes, and not only beginners. It is quite often seen on the chart and most likely everyone tried to trade it according to classical recommendations, for example from books or a course, when essentially everything comes down to breaking dynamic resistance on one of the sides where you buy or sell.
โก๏ธIn history, everything looks pretty harmonious as usual, but in real-time, it turns out to be not that simple, and here maybe just the rules from wave analysis will help to avoid a certain number of errors.
โก๏ธSo let's take a look at the main rules and guiding norms for triangles!
โ General Rulesโ
๐A triangle always subdivides into five waves.
๐At least four waves among waves "a", "b", "c", "d" and "e" are subdivided into a single zigzag.
๐In a triangle, only one subwave can be a multiple zigzag or triangle.
โ General guidelinesโ
๐Usually, wave "c" or wave "d" subdivides into a "multiple zigzag" that is longer lasting and contains deeper percentage retracements than each of the other subwaves.
๐Alternating waves of a triangle may be in Fibonacci proportion to each other by a ratio of 0.618 for contracting triangles and 1.618 for expanding triangles. For example, in a contracting triangle, look for wave "c" to equal 0.618 of wave "a".
๐A triangle can be correction wave "4" in the impuls, wave "b" of a zigzag, wave "x" of a double or second wave of an "x" of a triple zigzag, sub-wave "c", "d" or "e" of a triangle and the last structure of a combination.
โ Contracting Triangleโ
Rules
๐Wave "c" never moves beyond the end of wave "a", wave "d" never moves beyond the end of wave "b", and wave "e" never moves beyond the end of wave "c". The result is that going forward in time, a line connecting the ends of waves "b" and "d" converges with a line connecting the ends of waves "a" and "c".
๐Waves "a" and "b" never subdivide into a triangle.
๐In a running contracting triangle, wave "b" should be no more than twice as long as wave "a".
Guidelines
๐Sometimes one of the waves, usually wave "c", "d" or "e", subdivides into a contracting or barrier triangle. Often the effect is as if the entire triangle consisted of nine zigzags.
๐About 60% of the time, wave "b" goes beyond the beyond the start of wave "a". When this happens, the triangle is called a running contracting triangle.
โ Barrier Triangleโ
Rules
๐Wave "c" never moves beyond the end of wave "a", wave "d" never moves beyond the end of wave "b", and wave "e" never moves beyond the end of wave "c". The result is that going forward in time, a line connecting the ends of waves "b" and "d" converges with a line connecting the ends of waves "a" and "c".
๐Waves "b" and "d" end at essentially the same level.
๐In a running barrier triangle, wave "b" should be no more than twice as long as wave "a".
Guidelines
๐About 60% of the time, wave "b" goes beyond the start of wave "a". When this happens, the triangle is called a running barrier triangle.
๐When wave "5" follows a barrier triangle, it is typically either a brief, rapid movement or an exceptionally long extension.
โ Expanding Triangleโ
Rules
๐Wave "c", "d" and "e" each moves beyond the end of the preceding same-directional subwave. (The result is that going forward in time, a line connecting the ends of waves "b" and "d" diverges from a line connecting the ends of waves "a" and "c.")
๐Subwaves "b", "c" and "d" each retrace at least 100 percent but no more than 150 percent of the preceding subwave.
Guidelines
๐Subwaves "b", "c" and "d" usually retrace 105 to 125 percent of the preceding subwave.
โก๏ธIn this lecture, we will cover one of the most common or popular correction options - triangles. I remind you that we are now considering various correction structures that are encountered both separately and can be part of more complex structures.
โก๏ธTriangles are probably the most popular pattern for all beginners, yes, and not only beginners. It is quite often seen on the chart and most likely everyone tried to trade it according to classical recommendations, for example from books or a course, when essentially everything comes down to breaking dynamic resistance on one of the sides where you buy or sell.
โก๏ธIn history, everything looks pretty harmonious as usual, but in real-time, it turns out to be not that simple, and here maybe just the rules from wave analysis will help to avoid a certain number of errors.
โก๏ธSo let's take a look at the main rules and guiding norms for triangles!
โ General Rulesโ
๐A triangle always subdivides into five waves.
๐At least four waves among waves "a", "b", "c", "d" and "e" are subdivided into a single zigzag.
๐In a triangle, only one subwave can be a multiple zigzag or triangle.
โ General guidelinesโ
๐Usually, wave "c" or wave "d" subdivides into a "multiple zigzag" that is longer lasting and contains deeper percentage retracements than each of the other subwaves.
๐Alternating waves of a triangle may be in Fibonacci proportion to each other by a ratio of 0.618 for contracting triangles and 1.618 for expanding triangles. For example, in a contracting triangle, look for wave "c" to equal 0.618 of wave "a".
๐A triangle can be correction wave "4" in the impuls, wave "b" of a zigzag, wave "x" of a double or second wave of an "x" of a triple zigzag, sub-wave "c", "d" or "e" of a triangle and the last structure of a combination.
โ Contracting Triangleโ
Rules
๐Wave "c" never moves beyond the end of wave "a", wave "d" never moves beyond the end of wave "b", and wave "e" never moves beyond the end of wave "c". The result is that going forward in time, a line connecting the ends of waves "b" and "d" converges with a line connecting the ends of waves "a" and "c".
๐Waves "a" and "b" never subdivide into a triangle.
๐In a running contracting triangle, wave "b" should be no more than twice as long as wave "a".
Guidelines
๐Sometimes one of the waves, usually wave "c", "d" or "e", subdivides into a contracting or barrier triangle. Often the effect is as if the entire triangle consisted of nine zigzags.
๐About 60% of the time, wave "b" goes beyond the beyond the start of wave "a". When this happens, the triangle is called a running contracting triangle.
โ Barrier Triangleโ
Rules
๐Wave "c" never moves beyond the end of wave "a", wave "d" never moves beyond the end of wave "b", and wave "e" never moves beyond the end of wave "c". The result is that going forward in time, a line connecting the ends of waves "b" and "d" converges with a line connecting the ends of waves "a" and "c".
๐Waves "b" and "d" end at essentially the same level.
๐In a running barrier triangle, wave "b" should be no more than twice as long as wave "a".
Guidelines
๐About 60% of the time, wave "b" goes beyond the start of wave "a". When this happens, the triangle is called a running barrier triangle.
๐When wave "5" follows a barrier triangle, it is typically either a brief, rapid movement or an exceptionally long extension.
โ Expanding Triangleโ
Rules
๐Wave "c", "d" and "e" each moves beyond the end of the preceding same-directional subwave. (The result is that going forward in time, a line connecting the ends of waves "b" and "d" diverges from a line connecting the ends of waves "a" and "c.")
๐Subwaves "b", "c" and "d" each retrace at least 100 percent but no more than 150 percent of the preceding subwave.
Guidelines
๐Subwaves "b", "c" and "d" usually retrace 105 to 125 percent of the preceding subwave.
์ฐ๊ด ์์ด๋์ด
