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HOW TO TRADE SIMPLE ZIG-ZAG
Simple Zig-Zag has a very important distinctive feature. Particularly its starting leg down in wave A is subdivided into five waves of a smaller degree. This is why if you get a pullback that has an impulsive structure it is a strong hint that this drop is only the first leg down in wave A. After a corrective pullback up in wave B up you should expect another drop in wave C down that should drop under the low of the first leg down in the wave A.
The best way to understand how this pattern works is to study collection of charts with real life examples.
- Introduction to Section 6 “Corrective Waves”.
- Simple Zig-Zag.
- How to trade Simple Zig-Zag.
- Regular Flat.
- Bonus: Trading corrective waves shaped as a Regular Flat.
- Running Flat.
- Expanded Flat.
- Correction Shaped as a Triangle.
- Bonus: Triangle can play dirty tricky games.
- Triangle: Key Takeaways.
- Wave B is the least predictable beast.
- Bonus.Wave B explained.
- Two types of corrective structures: “through time” vs “throw price”.
- Complex Corrective Pattern: Double Three.
- Guidance on Alternation Between Corrective Waves