Elliott Wave

Elliott Wave detects and labels wave counts automatically, marking five-wave impulses (1–5) and three-wave corrections (A–C) as they develop from zigzag pivots, then drawing Fibonacci retracements where a correction may rebound. The counts stay honest: patterns that break the rules are visibly struck — invalidated motive counts turn dotted, corrective ones dashed, and a red cross prints when the pattern's lower box is breached.

How to Trade the Elliott Wave?

• Confirmed 5-wave pattern (1 → 5): a completed motive sequence, which can itself be read as a larger Wave 1 in the next degree.
• Fibonacci zones after the count: the script's retracement lines mark areas where the corrective phase might turn.
• Rule violations: Wave 2 retracing past Wave 1's origin or Wave 4 overlapping Wave 1's territory invalidates the count — a struck pattern is information, not noise.
• New extremes: when Wave 5 outgrows Wave 3, the pattern's highest point updates, and colored circles flag fresh highs against the drawn levels.

Pivots come from the ZigZag engine, so the source and length settings decide how much movement earns a label. The result is a running count under Elliott Wave theory without hand-labeling a single swing.

Elliott Wave Settings

• High: uses the high, the close, or the maximum of open/close as the upper pivot source.
• Low: uses the low, the close, or the minimum of open/close.
• ZigZag Length: how many neighboring bars must confirm a pivot — with length 10, a pivot high requires the ten preceding highs to sit lower. Larger values yield fewer, larger waves.

Frequently Asked Questions

What invalidates a wave count?

Two hard rules are enforced: a Wave 2 that gives back more than all of Wave 1 voids the count, and Wave 4 crossing back into Wave 1's price span does the same. If the rule set itself is what you want on screen, the Elliott Hard Rules build isolates exactly those constraints.

Does the indicator send alerts?

Yes — notifications cover new motive and corrective patterns in both directions, invalidated patterns, and the possible start of a new motive wave, so counts can be monitored without watching every bar.

How can I access the Elliott Wave indicator?

It costs nothing — the build is part of the free LuxAlgo Library, and wave counts can be stress-tested in Quant, LuxAlgo's AI, right here on the page.