Elliott wave pattern - Triangle [Contracting (CT) and Expanding (ET)], Internal structure, Rules and Guidelines

A Triangle is a common 5-wave corrective pattern labelled A-B-C-D-E that moves counter-trend. Triangles move within two channel lines drawn from waves A to C, and from waves B to D. A Triangle is either Contracting (CT) or Expanding (ET) depending on whether the channel lines are converging or expanding. Expanding Triangles are rare.

Contracting Triangle (CT)
Internal structure and the most common shape for a rising Contracting Triangle (CT), Elliott wave pattern

Internal structure and the most common shape for a falling Contracting Triangle (CT), Elliott wave pattern

Rules and guidelines for identifying and labeling a Contracting Triangle (CT) pattern
1) Wave A can only be a Zigzag, Double or Triple Zigzag, or a Flat pattern.
2) Wave B can only be a Zigzag, Double or Triple Zigzag pattern.
3) Wave C and D can be any corrective pattern except a Triangle.
4) Waves A, B, C and D must move within or close to within the A-C & B-D channel lines.
5) The intersection of the channel lines must occur beyond the end of Wave E.
6) The channel lines must converge. They cannot be parallel.
7) One of the channel lines may be horizontal.
8) Wave E can be a Zigzag, Double or Triple Zigzag, or a Contracting Triangle.
9) Wave E must be less than Wave D by price, and Wave E must be more than 20% of Wave D by price.
10) Either Wave A or Wave B must be the longest wave by price.
11) Wave E must end in the price territory of A.
12) Wave E must move within or close to within the B-D channel line.

Expanding Triangle (ET)
Internal structure and the most common shape for a rising Expanding Triangle (ET), Elliott wave pattern

Internal structure and the most common shape for a falling Expanding Triangle (ET), Elliott wave pattern

Rules and guidelines for identifying and labeling a Expanding Triangle (ET) pattern

1) All five waves must be Zigzag, Double or Triple Zigzag patterns.

2) Wave B must be shorter than Wave C by price, but more than 40% of Wave C by price. 

3) Waves A, B, C and D must move within, or close to within, the A-C & B-D channel lines.

4) Wave C must be shorter than Wave D by price, but more than 40% of Wave D by price.

5) Wave A must move within, or close to within, the A-C channel line.

6) The intersection of the channel lines must occur before the beginning of Wave A.

7) The channel lines must diverge. They cannot be parallel.

8) Neither channel line may be horizontal.

9) Wave E must be longer than D but less than 40% of Wave E by price.

10) Either A or B will be the shortest wave by price.

11) Wave E must end in the price territory of A

12) Wave E must move within, or close to within, the B-D channel line.


Other Posts of Interest 
Download - Elliott Wave Calculator
Elliott wave pattern - Impulse (IM), Internal structure, Rules and Guidelines
Elliott wave pattern - Diagonal [Leading (LD) and Ending (ED)], Internal structure, Rules and Guidelines
Elliott wave pattern - Zigzag (ZZ), Double Zigzag (DZ), Triple Zigzag (TZ), Internal structure, Rules and Guidelines
Elliott wave pattern - Flat (FL), Double Sideways (D3), Triple Sideways (T3), Internal structure, Rules and Guidelines

Elliott wave pattern - Flat (FL), Double Sideways (D3), Triple Sideways (T3), Internal structure, Rules and Guidelines

A Flat (FL) is a three-wave pattern, labeled A-B-C, that moves mostly sideways. It is corrective, counter-trend and is a very common Elliott pattern. They differ to Zigzags in that they tend to move sideways rather than strongly up or down - hence the name “Flat”. In contrast, Zigzags (or Sharps – as they are known) move “sharply” or strongly up or down.

Internal structure and the most common shape for a rising Flat (FL), Elliott wave pattern

Internal structure and the most common shape for a falling Flat (FL), Elliott wave pattern

Rules and guidelines for identifying and labeling a Flat pattern
1) Wave A can be any corrective pattern.
2) Wave B can be any corrective pattern except a Triangle.
3) Wave B must retrace Wave A by at least 50% by price.
4) Wave B must be less than twice the price length of Wave A.
5) Wave C can only be an Impulse or an Ending Diagonal.
6) Wave C must be no more than 3 times the price length of Wave A.
7) Wave C must be no longer than twice the price distance of both Waves A and B.
8) Wave C must share some common price territory with Wave A.


Double Sideways (D3) and Triple Sideways (T3)
Double and Triple Sideways patterns (also known as Double 3’s and Triple 3’s) are similar to Flats, and are typically two or three corrective patterns strung together with a joining wave, called an "x" wave. They are all corrective in nature. Triples are rare. Doubles are labelled w-x-y, while Triples are labelled w-x-y-xx-z.

Internal structure and the most common shape for a rising Double Sideways (D3), Elliott wave pattern (below)

Internal structure and the most common shape for a falling Double Sideways (D3), Elliott wave pattern (below)

Internal structure and the most common shape for a rising Triple Sideways (T3), Elliott wave pattern

Internal structure and the most common shape for a falling Triple Sideways (T3), Elliott wave pattern

Rules and guidelines for identifying and labeling a Double Sideways and Triple Sideways pattern
1) Wave W may be any corrective pattern except a Triangle, or a Double or Triple pattern.
2) Wave X may be any corrective pattern except a Triangle, or a Double or Triple pattern.
3) Minimum Wave X retracement is 50% of Wave W.
4) Maximum retracement of Wave X on Wave W is 400%.
5) Wave Y may be any corrective pattern except a Double or Triple pattern.
6) Wave Y must be greater than Wave X by price except if it is a Triangle.
7) Wave XX may be any corrective pattern except a Triangle, or a Double or Triple pattern.
8) Minimum XX wave retracement is 50% of Y.
9) Maximum retracement of Wave XX on Wave Y is 400%.
10) Wave Z may be any corrective pattern except a Double or Triple pattern. However Z cannot be a Zigzag if Y is a Zigzag.
11) Wave Z must be greater than Wave XX by price.


Other Posts of Interest 
Download - Elliott Wave Calculator
Elliott wave pattern - Impulse (IM), Internal structure, Rules and Guidelines
Elliott wave pattern - Diagonal [Leading (LD) and Ending (ED)], Internal structure, Rules and Guidelines
Elliott wave pattern - Zigzag (ZZ), Double Zigzag (DZ), Triple Zigzag (TZ), Internal structure, Rules and Guidelines
Elliott wave pattern - Triangle [Contracting (CT) and Expanding (ET)], Internal structure, Rules and Guidelines

Elliott wave pattern - Zigzag (ZZ), Double Zigzag (DZ), Triple Zigzag (TZ), Internal structure, Rules and Guidelines

A Zigzag (ZZ) is a 3-wave structure labelled A-B-C, moving counter to the larger trend. It is one of the most common corrective Elliott patterns.

Internal structure and the most common shape for a rising Zigzag (ZZ), Elliott wave pattern

Internal structure and the most common shape for a falling Zigzag (ZZ), Elliott wave pattern

Rules and guidelines for identifying and labeling a Zigzag pattern
1) Wave A must be an Impulse or a Leading Diagonal.
2) Wave B can only be a corrective pattern.
3) Wave B must be shorter than wave A by price distance.
4) Wave C must be an Impulse or an Ending Diagonal.
5) Wave C may not be an Ending Diagonal if Wave A is a Leading Diagonal.

Double and Triple Zigzag (DZ and TZ)
Double and Triple Zigzags are similar to Zigzags, and are typically two or three Zigzag patterns strung together with a joining wave called an "x" wave. They are corrective in nature. Triples are uncommon. Zigzags, Double Zigzags and Triple Zigzags are also known as Zigzag family patterns, or Sharp patterns. Double Zigzags are labelled w-x-y, while Triple Zigzags are labelled w-x-y-xx-z.

Internal structure and the most common shape for a rising Double Zigzag (DZ), Elliott wave pattern

Internal structure and the most common shape for a falling Double Zigzag (DZ), Elliott wave pattern

Internal structure and the most common shape for a rising Triple Zigzag (TZ), Elliott wave pattern

Internal structure and the most common shape for a falling Triple Zigzag (TZ), Elliott wave pattern

Rules and guidelines for identifying and labeling a Double and Triple Zigzag pattern
1) Wave W must be a Zigzag.
2) Wave X can be any correction except an Expanding Triangle.
3) Wave X must be smaller than wave W by price.
4) Wave Y must be a Zigzag.
5) Wave Y must be equal to or longer than Wave X by price.
6) Wave XX can be any correction except an Expanding Triangle.
7) Wave XX must be smaller than wave Y by price.
8) Wave Z must be a Zigzag.
9) Wave Z must be greater than or equal to Wave XX by price.


Other Posts of Interest 
Download - Elliott Wave Calculator
Elliott wave pattern - Impulse (IM), Internal structure, Rules and Guidelines
Elliott wave pattern - Diagonal [Leading (LD) and Ending (ED)], Internal structure, Rules and Guidelines
Elliott wave pattern - Flat (FL), Double Sideways (D3), Triple Sideways (T3), Internal structure, Rules and Guidelines
Elliott wave pattern - Triangle [Contracting (CT) and Expanding (ET)], Internal structure, Rules and Guidelines

Elliott wave pattern - Diagonal [Leading (LD) and Ending (ED)], Internal structure, Rules and Guidelines

Diagonal – also known as a Diagonal Triangle is a common 5-wave motive pattern labelled 1-2-3-4-5 that moves with the larger trend. Diagonals move within two contracting channel lines drawn from waves 1 to 3, and from waves 2 to 4. Other than an Impulse, Diagonal is the only other Elliott Wave pattern that moves with the larger trend.

There exist two types of Diagonals: Leading Diagonals (LD) and Ending Diagonals(ED). They have a different internal structure and are seen in different positions within the larger degree pattern. Ending Diagonals are much more common than Leading Diagonals.

Internal structure and the most common shape for a rising Leading Diagonals (LD), Elliott wave pattern

Internal structure and the most common shape for a rising Ending Diagonals(ED), Elliott wave pattern

Rules and guidelines for identifying and labeling a Diagonal pattern
1) Diagonals move within two converging channel lines
2) Wave 1 of a Leading Diagonal is an Impulse or a Leading Diagonal.
3) Waves 1, 3 and 5 of an Ending Diagonal are always a Zigzag family pattern.
4) Wave 2 may be any corrective pattern except a Triangle.
5) Wave 2 is never longer than Wave 1 by price.
6) Wave 3 of a Leading Diagonal is an Impulse.
7) Wave 3 is always greater than Wave 2 by price.
8) Wave 4 may be any corrective pattern.
9) Waves 2 and 4 must share some common price territory (must overlap).
10) Wave 5 of a Leading Diagonal is either an Impulse or Ending Diagonal.
11) Wave 5 must be at least 50% of Wave 4 by price.
12) Wave 3 must not be shortest by price when compared with Waves 1 and 5.


Other Posts of Interest 
Download - Elliott Wave Calculator
Elliott wave pattern - Impulse (IM), Internal structure, Rules and Guidelines
Elliott wave pattern - Zigzag (ZZ), Double Zigzag (DZ), Triple Zigzag (TZ), Internal structure, Rules and Guidelines
Elliott wave pattern - Flat (FL), Double Sideways (D3), Triple Sideways (T3), Internal structure, Rules and Guidelines
Elliott wave pattern - Triangle [Contracting (CT) and Expanding (ET)], Internal structure, Rules and Guidelines

Elliott wave pattern - Impulse (IM), Internal structure, Rules and Guidelines

An Impulse is a five-wave pattern labelled 1-2-3-4-5 moving in the direction of the larger trend.

Internal structure and the most common shape for a rising Impulse, Elliott wave pattern

Internal structure and the most common shape for a falling Impulse, Elliott wave pattern

Rules and guidelines for identifying and labeling an Impulse pattern
1) Wave 1 must itself be an Impulse or a Leading Diagonal pattern.
2) Wave 2 can be any corrective Elliott Wave pattern except a Triangle.
3) No part of Wave 2 can retrace more than 100% of Wave 1.
4) Wave 3 must be an Impulse.
5) Wave 3 must be longer than wave 2 by price.
6) Wave 4 can be any corrective Elliott Wave pattern.
7) Waves 2 and 4 cannot overlap (share common price area).
8) Wave 5 must be an Impulse or an Ending Diagonal.
9) Wave 5 must be at least 70% of the length of Wave 4 by price.
10) Wave 3 must never be the shortest by price when compared to Waves 1 & 5.


Other Posts of Interest 
Download - Elliott Wave Calculator
Elliott wave pattern - Diagonal [Leading (LD) and Ending (ED)], Internal structure, Rules and Guidelines
Elliott wave pattern - Zigzag (ZZ), Double Zigzag (DZ), Triple Zigzag (TZ), Internal structure, Rules and Guidelines
Elliott wave pattern - Flat (FL), Double Sideways (D3), Triple Sideways (T3), Internal structure, Rules and Guidelines
Elliott wave pattern - Triangle [Contracting (CT) and Expanding (ET)], Internal structure, Rules and Guidelines

[FREE DOWNLOAD] Elliott Wave Calculator

The Elliott Wave Principle helps in describing how financial markets behave. As per the principle, markets create specific wave patterns in price. These wave patterns are often found to be in particular Fibonacci ratios.

I am uploading Elliott Wave Calculator Excel Spreadsheet. You can download it from here.

The calculator will help to broadly classify various waves associated with the Elliott Wave principle as per the Fibonacci ratios
Some of the commonly accepted ratios and rules have been taken into account while making the calculator.

Following assumptions related to price aspect are made while making the calculator.
1) You need to first establish Wave 1, based on that rest of the waves have been calculated .Once Wave 1 is identified, insert the values in grey cells under “FROM” and “TO” Cells
2) Wave 2 is 0.618 times Wave 1
3) Wave 3 is 1.618 times Wave 1
4) Wave 4 is 0.382 times Wave 3
5) Wave 5 is equal to Wave 1
6) Wave A is 0.382 times Wave 5
7) Wave B is 0.618 times Wave A
8) Wave C is equal to Wave A

Following assumptions related to time aspect are made while making the calculator.
1) Once Wave 1 is identified calculate the number of price bars between the start and end of the wave. Insert this in calculator (grey cell under the column “Time Bars”)
2) Wave 2 is 0.618 times Wave 1
3) Wave 3 is equal to the sum of time between Wave 1 and Wave 2
4) Wave 4 is 1.382 times Wave 2
5) Wave 5 is 1.382 times Wave 4
6) ABC waves is half in length to 12345 waves
7) Wave A and Wave C are of same time duration.
8) Wave B is 0.618 times Wave A

The above points are commonly accepted ratios in Elliott wave principle and thus are not absolute values
I feel if Elliott Wave price projection is used with oscillator divergence and trend channels, it can give quite reliable price projections. With the help of the calculator we can quickly form an opinion about the current trend in any time frame from 1 min to 1 month or more, in any stock or index
The calculator is still under development stage, price calculation have been fully developed, some aspects regarding time  need to be modified if required

Lastly I would like to thank Ilango of  "Just Nifty"  for his valuable inputs in conceptualizing this calculator.For detailed information about Elliott wave ,please visit his blog.
Please post your feedback , suggestions and strategies about how this can be use in trading.
Good luck
Cheers

Apart from the above you may find these calculators useful while working with Elliott Wave principle:
Fibonacci Retracement calculator
Fibonacci Extension Calculator
Download - Elliott Wave Calculator Modifiable (Research Version)

Other Posts of Interest 
Elliott wave pattern - Impulse (IM), Internal structure, Rules and Guidelines
Elliott wave pattern - Diagonal [Leading (LD) and Ending (ED)], Internal structure, Rules and Guidelines
Elliott wave pattern - Zigzag (ZZ), Double Zigzag (DZ), Triple Zigzag (TZ), Internal structure, Rules and Guidelines
Elliott wave pattern - Flat (FL), Double Sideways (D3), Triple Sideways (T3), Internal structure, Rules and Guidelines
Elliott wave pattern - Triangle [Contracting (CT) and Expanding (ET)], Internal structure, Rules and Guidelines
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