The main rules for a leading diagonal This pattern subdivides into 5 waves. Wave 2 never ends beyond the starting point of wave 1. Wave 3 always breaks the ending point of wave 1. Wave 4 usually breaks beyond the ending point of wave 1. Wave 5 in the absolute majority of cases breaks the ending point of wave 3. Wave 3 can't be the shortest. Wave 2 can't be a triangle or a triple three structure. Waves 1, 3 and 5 can be formed like impulses or zigzags.
hi .. your elliot wave drawing is wrong.. 4. wave can not be down from 1. wave. that is important rule of elliot waves..take care
NateTheGreat7
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@DATAMERFX, @DATAMERFX, You're incorrect. That rule is for all non-leverage "cash" markets. Markets with leverage can cause short term price extremes that would not occur in cash markets. You should do some more research if you trade using E.W....take care