CMT Elliott Wave Theory

Question 1

Who developed Elliott Wave Theory after studying 75 years of stock market data in the 1930s?

Accepted Answer

Ralph Nelson Elliott

Answer

Robert Prechter

Answer

Charles Dow

Answer

W.D. Gann

Question 2

How many total waves make up one complete Elliott Wave cycle (full impulse plus corrective phase)?

Accepted Answer

8 waves

Answer

5 waves

Answer

3 waves

Answer

13 waves

Question 3

Which inviolable Elliott Wave rule states that Wave 3 can never be the shortest among Waves 1, 3, and 5?

Accepted Answer

Wave 3 length rule

Answer

Wave overlap rule

Answer

Wave 2 retracement rule

Answer

Wave alternation rule

Question 4

According to Elliott Wave rules, Wave 4 must not overlap with which prior wave's price territory?

Accepted Answer

Wave 1

Answer

Wave 2

Answer

Wave 3

Answer

Wave 5

Question 5

What Fibonacci ratio is most commonly used to project the length of Wave 3 relative to Wave 1?

Accepted Answer

1.618

Answer

0.618

Answer

1.382

Answer

2.618

Question 6

What percentage range does Wave 2 most commonly retrace of Wave 1 in an Elliott impulse sequence?

Accepted Answer

50% to 61.8%

Answer

23.6% to 38.2%

Answer

76.4% to 88.6%

Answer

100% or more

Question 7

Which wave in an Elliott impulse sequence is typically associated with the highest volume, strongest momentum, and widest price spread?

Accepted Answer

Wave 3

Answer

Wave 1

Answer

Wave 5

Answer

Wave B