I tried to summarize the conditions that should met for a to be valid. I have did so for most of the patterns which I know, except for , and pattern.
Hope this help some of you; Any Question? Please ask under this thread.
Newcastle-upon Tyne, United Kingdom
02/06/2015 11:05 BST
There are few points that I can add to your question here.
i) the graphs which i draw are for demonstration purposes only, just as a mean to address the legs.
ii) The first important leg to my view is the XA impulse leg; It should have few characteristics; 1) new structural pivot with respect to previous one, as you look left. 2) have a 5 wave structure in terms of Elliot Wave Principle. (This will hugely increase the probability of the pattern in your favor)
iii) I don't quite understand what do you address here: "how much wiggle room do you give for the retracements?" Which retracement you are pointing to? which leg?
iv) I am sure with the practice you can train your mind's eye to identify them. It is the matter of effort and time. It also took me a while to be able the find the potential ones, and still it takes a lot of time to analyse time.
v) The CD leg is most important leg of the patterns. You should be able to study the internal development of the leg.
vi) it is important how close your ratios confluence at point D. If there is gap between them disregard the pattern.
Hope you find some of these helpful.
Good luck, Hamed.