what happens after the corrective ABC waves in the Elliot wave theory ?? does the 5 waves trend continue or what ?
Yes, following the ABC countertrend move, a new 5 wave count starts.
The theory of 5 waves is based on the fact that most trends move making 3 pushes up or 3 pushes down depending on the trend. It then makes an ABC pattern before making a trend reversal.
But the truth is the 5 wave theory is just that a theory because an uptrend or down trend can go 7 waves or nine waves or more. It also depends on how you draw those waves on your chart and it also includes the timeframe you are using. It’s possible to have an Elliott Wave within an Elliott Wave.
Hope that helps
Cheers
Blackduck
Hi, do not use this. Wave structure torn over 10 years ago.
Now the identification of the desired wave is not accurate, and can change several times. In online mode, this is not permissible, because a trader will receive a psychological and financial loss before receiving a profitable transaction.
Yes, it can work on a small segment of the schedule or time period.