Elliott Wave is a technical analysis theory used to predict future asset price movements. This theory was developed by Ralph Nelson Elliott, an American accountant and author in the 1930s.
This theory is based on the assumption that asset price movements are influenced by the psychological conditions of market players.
Elliott Wave Types
Impulse waves or motive waves, occur in the same direction as the trend
Corrective waves or diagonal waves, occur after passing through five waves in one motive wave cycle.
Elliott Wave Rules
Wave 2 should not reverse the price beyond the start of wave 1.
Wave 3 cannot be the shortest wave among waves 1, 3, and 5
Wave 4 must not overlap with the price area of wave 1.
This theory is based on the assumption that asset price movements are influenced by the psychological conditions of market players.
Elliott Wave Types
Impulse waves or motive waves, occur in the same direction as the trend
Corrective waves or diagonal waves, occur after passing through five waves in one motive wave cycle.
Elliott Wave Rules
Wave 2 should not reverse the price beyond the start of wave 1.
Wave 3 cannot be the shortest wave among waves 1, 3, and 5
Wave 4 must not overlap with the price area of wave 1.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.