Elliot wave Truncated ZigZag Real chart

Feb 10, 2022

It look like reliance chart daily time frame complete zig zag correction

Wave formation
Wave (A,B,C) Zig Zag patterns
Wave A internal wave count (1,2,3,4,5)
Wave B internal wave count (a,b,c)
Wave C internal wave count (1,2,3,4,5)

Rules and objectives:

The C-Wave is Smaller than 61.8% of the A-Wave
This represents the least frequent situation, when the c-wave exceeds the end of the previous a-wave, but is less than 61.8% of it. Once again, the golden ratio proves to be essential in deciding what kind of a pattern the market will form. Having said that, the logical thing to do is to measure the length of the a-wave, take 61.8% out of it, and project it from the end of the b-wave. Keep in mind that it is mandatory for the c-wave to end beyond the end of the previous a-wave. If the resulting 61.8% measured move is not enough for that, it means that the whole pattern is actually not a zigzag. This type of zigzag is really important, as it calls for a sharp retracement in the opposite direction, so by the time the price moves beyond the end of the a-wave, a powerful countertrend move should be expected. The distance to be covered is a minimum of 80% of the whole zigzag, and more often it goes beyond full retracement. As a result, we can safely say that this type of zigzag is one that should be rather faded by the time the price goes beyond the end of the a-wave.

Feb 10, 2022

Note

Real chart