Learn Elliott Wave Analysis
A free, structured course on the Elliott Wave Principle. Start with the basics, learn the patterns one at a time, then use Fibonacci and channels to project targets. Each lesson takes about five minutes to read.
Elliott Wave Theory: A Complete Beginner’s Guide
The full beginner guide: the five-wave pattern, corrections, Fibonacci and how to use a count in real trading.
Start here
The ideas and rules behind every wave count.
Beginner's Guide
The full theory in one plain-English guide.
Introduction to the Wave Principle
Where the idea came from, the 5-3 pattern and why crowds move in waves.
The 3 Rules
The three rules every impulse must follow and how to use them as stop levels.
Wave Degrees
The nine wave sizes from Grand Supercycle to Subminuette and how to label them.
Wave Personality
The typical mood, volume and news behind each of the eight waves.
Motive patterns
How trends move: impulses, extensions, truncations and diagonals.
Impulse Wave
The standard five-wave trend structure and how to confirm it.
Extended Waves
When one motive wave stretches far beyond the others and how to trade it.
Truncated Fifth
When wave 5 fails to pass the end of wave 3 and what it signals.
Leading Diagonal
A wedge-shaped first wave where wave 4 can overlap wave 1.
Ending Diagonal
A wedge at the end of a trend that often leads to a fast reversal.
Corrective patterns
How markets pull back: zigzags, flats, triangles and combinations.
Zigzag
The sharp 5-3-5 correction and its double and triple forms.
Flat
The sideways 3-3-5 correction, including regular, expanded and running flats.
Triangle
The five-wave sideways A-B-C-D-E pattern that appears before the final move.
Double Three
Two corrective patterns joined by an X wave, the most common complex correction.
Triple Three
Three corrective patterns joined by two X waves, a rare long sideways phase.
Guidelines and tools
Fibonacci ratios, alternation, channels and key terms.
Elliott Wave and Fibonacci
Common retracement and extension ratios for each wave and how to project targets.
Alternation
Why waves 2 and 4 usually differ in shape, depth and time.
Channeling
Drawing parallel channels to project the ends of waves 4 and 5.
Glossary
Plain-English definitions of the key Elliott Wave terms.
How to study Elliott Wave
Read the lessons in order the first time. Each one builds on the last. After each lesson, open a market page and look for the pattern on a daily chart. Practice is the only way to get good at counting waves.
When you are ready, compare your counts with ours and with the track record of past calls. You will learn as much from wrong counts as from right ones.
Frequently asked questions
How long does it take to learn Elliott Wave?
Most people understand the basics in a few days. Applying it well takes months of practice on live charts.
Is Elliott Wave hard to learn?
The rules are simple. The hard part is staying flexible when a count is invalidated and keeping an alternate count.
What should I learn first?
The 5-3 wave pattern and the three rules. Everything else builds on them.
Sources and further reading
- Elliott wave principle (Wikipedia)
- Frost, A. J. and Prechter, R. R., Elliott Wave Principle: Key to Market Behavior (1978) (Wikipedia (author page))
- Chartered Market Technician program (CMT Association)
