What is the Difference Between a Diagonal and a Triangle in Elliot Wave Principle?



What is the Difference Between a Diagonal and a Triangle in Elliot Wave Principle?

I am reading the Elliot Wave Principle by Prechter but it doesn't seem to give specific distinctions between a diagonal and a triangle.

Thank You!

Comments for What is the Difference Between a Diagonal and a Triangle in Elliot Wave Principle?

Click here to add your own comments

Diagonals are Triangles
by: Kenny

Diagonals are types of triangles, it is just that the term is often shortened. In Elliott Wave Principle there are 3 types of triangle described...

1. Leading Diagonal Triangle
2. Ending Diagonal Triangle
3. Horizontal Triangle

The defining factor is the internal wave count of the patterns.

Leading diagonal triangles subdivide into a 5-3-5-3-5 wave count where waves 1,3 and 5 are normal 5 wave impulsive moves. The key factor here is that wave 4 overlaps wave 1.

Leading diagonals can only appear in the waves 1 or A positions.

Ending diagonals can only appear as 5th or C waves and subdivide into 3-3-3-3-3.

Horizontal triangles are corrective consolidation moves and subdivide 3-3-3-3-3....these can only appear in the 4th and B wave positions.

You can find some more info on triangles in the Elliott Wave section.

Hope that helps.

Kenny.



Click here to add your own comments

Join in and write your own page! It's easy to do. How? Simply click here to return to Your Technical Analysis Questions and Tips.








Return to the Traders Day Trading Homepage
Stock Market Trading with Technical Analysis Charts - Learn How to Trade Successfully!