In this webinar recording from March 14, we dug into the diagonal pattern, what it ideally looks like and rules associated with it.
- Diagonals subdivide as 3-3-3-3-3
- Each wave of the 5 waves above is a zigzag
- Wave 2 cannot retrace more than 100% of wave 1
- Wave 3 is not the shortest of waves 1,3,5
(Do these look similar to our impulse and zigzag lessons?)
5. Diagonals can form in these positions: Waves 1, 5, A (of zigzag), C (of flat or zigzag)
There are some similarities and differences between diagonals and impulse waves. For example, both are motive waves and point in the direction of the immediate trend. However, common differences include their structure and how wave 4 interacts with wave 1.
Lastly, we reviewed how to trade the diagonal.
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Missed the first five webinars in this series? We began with Trading Elliott Wave Impulses.
---Written by Jeremy Wagner, Head Trading Instructor, DailyFX EDU
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