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The best way to understand how this pattern works is to study collection of charts with real life examples.
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Corrective Wave 2 is always shorter than preceding impulsive wave 1.
Wave 2 down reacts to a preceding impulsive wave 1 up. We always measure counter trend wave 2 down in terms of ratio of its length to length covered by preceding wave 1 up. We call such a ratio “retracement ratio”.
The best way to understand how this pattern works is to study collection of charts with real life examples.