Elliott Wave Theory Flashcards
7 cards from real CMT practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Elliott Wave Theory flashcards as text
What are the three basic categories of simple corrective patterns in Elliott Wave Theory?
Answer: Zigzags, flats, and triangles
Elliott Wave corrective patterns fall into three basic categories — zigzags, flats, and triangles — which can combine into complex corrections.
In a zigzag (5-3-5) corrective pattern, what is the internal sub-wave structure of Waves A, B, and C respectively?
Answer: A=5, B=3, C=5
A zigzag is a 5-3-5 structure where Wave A subdivides into 5 waves, Wave B into 3 waves, and Wave C into 5 waves.
What primarily distinguishes a flat correction from a zigzag in Elliott Wave Theory?
Answer: Wave B in a flat retraces approximately 90–100% of Wave A, and Wave C ends near Wave A's terminus
In a flat, Wave B retraces approximately 90–100% of Wave A and Wave C ends near or at Wave A's end, creating a 'flat' sideways structure versus the sharper zigzag.
How many sub-waves (labeled A through E) does a contracting Elliott Wave triangle contain?
Answer: 5 sub-waves
An Elliott Wave contracting triangle contains 5 sub-waves labeled A–B–C–D–E, each of which is itself a three-wave corrective structure.
What is the internal sub-wave character of each leg within an Elliott Wave triangle?
Answer: Each leg is a 3-wave corrective structure
Each of the five legs (A–E) in an Elliott Wave triangle is a three-wave corrective structure, making the full triangle a 3-3-3-3-3 pattern.
What market behavior typically follows an Elliott Wave triangle pattern?
Answer: A thrust move in the direction of the larger trend
After completing a triangle, the market typically generates a 'thrust' in the direction of the larger trend, often approximating the width of the triangle's widest section.
What is a 'double three' (W-X-Y) or 'triple three' (W-X-Y-X-Z) in Elliott Wave Theory?
Answer: Complex corrections combining two or three simple corrective patterns connected by X waves
A double three or triple three is a complex corrective structure that links two or three simple patterns (zigzags, flats, triangles) using connecting X waves.