Structure
Is an impulse wave with a 5 wave (5-3-5-3-5) structure
Can never be the shortest wave
If W3 is shorter than W1, expect W5 to be shorter than W3.
Until it reaches 1.618 of W1, consider it to be a Wave C instead.
Frequently extends into a 9 wave structure, with another impulse wave contained within it.
Retracment
Trading
Do not get suckered. W2 must be a 3 wave structure, so don't prematurely start the Wave 3 count.
Best conservative approach is to wait for W3.3 to clear W3.1, then enter.
Aggressive approach is to enter when W3.2 pivot is marked.
Once you are in a wave 3, do not attempt to trade it. Corrections are frequently shallow and mal-formed. They can look like a single corrective wave. Time wise they seem to be about right, Just hang on and ride them out unless you are on a higher degree and can improve your position without much risk of being left behind.
Prediction
When extended, can reach 200, 261.8, or 4.25 of W1.
CONTENT OF ELLIOTT WAVE CHEAT SHEETS
1 Home Rules and Guidelines Applicable to All Motive and Corrective Waves
2 Wave 1 Characteristics and Structure
3 Wave 2 Characteristics and Structure
4 Wave 3 Characteristics and Structure
5 Wave 4 Characteristics and Structure
6 Wave 5 Characteristics and Structure
7 Wave A Characteristics and Structure
8 Wave B Characteristics and Structure
9 Wave C Characteristics and Structure
10 Extensions Structure and Trading
11 Fibonacci Targets Price Targets for Retracement and Extension
12 1-2/1-2 Structures Wave 1-2 /1-2 Characteristics
13 Zigzags Structure and characteristics
14 Flats This is All FLAT Rules
15 Triangles Triangles (3-3-3-3-3) Description and samples
16 Complex Corrections Characteristics of Complex Corrections (Combinations)
17 Declaring X Waves When to declare an X wave and a complex correction
18 Ending Diagonals Description and samples.
19 Leading Diagonals Description and samples. This is quite rare.
21 Channeling How to Use Channels to Identify Waves
22 Correction Times Use the appropriate time frame to analyze the correction.