🔄 Corrective Patterns

Zigzag, flat (regular/expanded/running), triangle variants and combinations (double three, triple three).

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1 📉 Zigzag (5-3-5) 2 ➡️ Flat (3-3-5) — Regular, Expanded, Running 3 △ Triangle (3-3-3-3-3) 4 🔗 Combinations: Double Three & Triple Three

1. 📉 Zigzag (5-3-5)

The zigzag is the sharpest and deepest type of correction. Structure: wave A is an impulse (5 sub-waves), wave B is a simple correction (3 sub-waves), wave C is an impulse (5 sub-waves).

Component	Structure	Typical depth
Wave A	5-wave impulse downward	—
Wave B	3-wave correction upward	Retraces 38.2–78.6% of A; may NEVER exceed 100% of A
Wave C	5-wave impulse downward	Often 100% or 161.8% of wave A

Identification heuristic: If the correction runs sharply and steeply downward and wave B reclaims very little ground, it is most likely a zigzag. Zigzags often appear in wave-2 position.

2. ➡️ Flat (3-3-5) — Regular, Expanded, Running

A flat is a sideways correction with structure 3-3-5. There are three variants:

Type	Wave B	Wave C	Meaning
Regular flat	~100% of A (returns to the start)	~100% of A	Neutral market; forces in balance
Expanded flat	Above 100% of A (new high!)	Below the end of A (new low)	Strong trend; the market wants to continue
Running flat	Far above 100% of A	Ends well above the start of A	Extremely strong trend; correction is "bought away"

💡 Expanded flat: The wave-B extension above the previous high lures many traders into a long entry — shortly afterwards wave C drops sharply below. One of the most common trader traps.

3. △ Triangle (3-3-3-3-3)

A triangle consists of 5 sub-waves (ABCDE), each with 3 sub-waves (overall structure: 3-3-3-3-3). Triangles appear in wave-4 or wave-B position — never in wave 2 or wave 1.

Type	Shape	Breakout direction
Contracting	Trendlines converge; each wave smaller than the previous one	In trend direction (upward when in wave 4)
Expanding	Trendlines diverge; each wave larger than the previous one	Mostly in trend direction; rarer
Barrier	One trendline horizontal, the other converging	In trend direction

Trading implication of triangles: The breakout after the E-wave is a classic setup (triangle breakout setup in module 6). The E-wave often briefly overshoots the trendline (false break) before the real breakout occurs. After the breakout, the market typically travels roughly the height of the triangle's base.

4. 🔗 Combinations: Double Three & Triple Three

Horizontal combinations form when two or three simple corrections are linked by an X connecting wave.

Pattern	Structure	Hallmarks
Double three (W-X-Y)	Two simple corrections (W, Y) + X connection	W and Y are zigzags, flats or triangles; X is often small
Triple three (W-X-Y-X-Z)	Three simple corrections + two X connections	Very long, trendless sideways phase; rarer

Pattern-recognition heuristic for all corrections:

Sharp and fast downward? → Likely a zigzag (wave 2)
Sideways with wave B above the starting point? → Likely an expanded flat (wave 2 or 4)
Five waves ABCDE with converging trendlines? → Triangle (wave 4 or B)
Very long, multiple attempts to take a direction? → Double/triple three (wave 4 or B)