Wednesday, March 18, 2009
Identifying Waves of the same Degree
Identifying waves of the same degree. For many EW analysts, it can sometimes be difficult to determine how Elliott Waves are labeled correctly. Wave alternation (different look, price or time action) helps, but also looking at the price and time action on corrective waves can also assist.
Usually if the price and/or time of corrective waves is more than 1/3 of the previous wave, then the correction could be labeled at the same degree as the previous wave. See examples.