Elliott & Harmonics

Two ratio-driven traditions share this family. Elliott Wave Theory reads the market as a repeating five-up, three-down wave cycle, nested across degrees; Harmonic Trading, the methodology Scott M. Carney created, maps precise Fibonacci-ratio patterns (Gartley, Bat®, Crab® and their relatives) to potential reversal zones. Both descend from the same 1930s lineage of measuring crowd behavior with ratios, and both remain contested: their pages say honestly where the evidence is thin.

On the Elliott side, the grammar runs from motive and corrective waves through diagonals, extensions and truncations to the corrective shapes (zigzags, flats, triangles and their combinations), the hierarchy of wave degrees, and the line between the three hard rules and the softer guidelines. NeoWave, Glenn Neely’s reformulation, sits alongside. On the harmonic side, the catalog runs from the ABCD and the Three Drives to the five-point patterns (the Gartley, Bat, Butterfly, Crab, Shark®, Cypher and 5-0®), their anti-patterns and exotic variants, and the potential reversal zone where each one completes. The ratio set both traditions measure with closes the family.