# Corrective Leg

Classifies completed counter-trend legs as corrective by scoring them against the impulse they retrace: retracement inside 0-100%, speed at most 1x, bar overlap of 50% or more, bodies no larger and travel efficiency under 50%. Confirmed legs are labeled Shallow, Typical or Deep, while a live zone tracks the developing correction with its depth and invalidation level. For structure-first trend traders.

- Indicator in the LuxAlgo Library, by LuxAlgo, published Mar 24, 2026.
- Access: free.
- Concepts: [Corrective Leg](https://www.luxalgo.com/library/concept/corrective-leg/) (primary)
- Open on Vela: https://vela.luxalgo.com/chart?pineScriptCodeId=w67edi8l9p3cov49hrzlca1v
- Page: https://www.luxalgo.com/library/indicator/corrective-leg/

**Corrective Leg** is the definitive clean classifier for the [corrective leg](https://www.luxalgo.com/library/concept/corrective-leg/): the slow, overlapping counter-move retracing part of an impulse without breaking its structure. From a confirmed-swing zigzag, it measures every completed counter-leg against the leg it retraces (depth, speed, bar overlap, body size and travel efficiency) and labels it corrective only when all five pass. A live zone follows the developing correction with running depth and invalidation.

## How to Trade the Corrective Leg?

- **Corrective label**: a confirmed leg tagged Shallow, Typical or Deep by retracement depth, the pullback entry window within trend structure.
- **Depth health**: a correction held under 38.2% speaks for the trend; crossing 61.8% fires the Deep Correction alert: sponsorship fading.
- **Trend resumption**: price retaking the retraced leg's extreme terminates the correction and fires the resumption alert.
- **Invalidation level**: the dotted line at the retraced leg's origin; trading through it stands setups down.

## Corrective Leg Settings

- **Swing Length** (default 10): bars either side confirming the zigzag's swings.
- **Min Retracement %** (default 0) and **Max Retracement %** (default 100): bounds on the share of the retraced leg given back.
- **Max Speed Ratio** (default 1.0): per-bar travel cap versus the retraced leg.
- **Min Bar Overlap %** (default 50): minimum average candle-range overlap.
- **Max Body Size Ratio** (default 1.0): average body cap versus the retraced leg.
- **Max Travel Efficiency %** (default 50): net versus summed close travel; one-way moves fail.
- **Shallow Below %** (default 38.2) and **Deep Above %** (default 61.8): the health boundaries.
- **Events Require Close Beyond Level** (default off): requires closes, not intrabar touches.
- Display options cover leg labels, the active zone, the invalidation level, a faint swing framework, and a dashboard.

## Frequently Asked Questions

### What separates a corrective leg from an impulse leg?

Anatomy, not direction. An [impulse leg](https://www.luxalgo.com/library/indicator/impulse-leg/) travels efficiently with large bodies and little overlap; a correction advances little per bar, keeps its candles overlapping and wanders, exactly the measurements this build scores.

### Why does the tracked correction ignore a completed corrective leg?

A corrective leg is part of the ongoing correction, not a fresh reference: the episode keeps measuring against the retraced impulse until its extreme is retaken or its origin gives way.

### Which retracement bounds should I set?

The defaults accept any partial retrace inside the retraced leg. Raising Min Retracement % (23.6 and 38.2 are common floors) skips shallow stalls; beyond the origin the move stops being corrective.

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- [Structure & Trend Dashboard](https://www.luxalgo.com/library/indicator/structure-trend-dashboard/) (Break of Structure): markdown at https://www.luxalgo.com/library/indicator/structure-trend-dashboard.md
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- [Liquidity Structure & Order Flow](https://www.luxalgo.com/library/indicator/liquidity-structure-order-flow/) (Break of Structure): markdown at https://www.luxalgo.com/library/indicator/liquidity-structure-order-flow.md
- [Market Structure Break & OB Probability Toolkit](https://www.luxalgo.com/library/indicator/market-structure-break-ob-probability-toolkit/) (Break of Structure): markdown at https://www.luxalgo.com/library/indicator/market-structure-break-ob-probability-toolkit.md

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Source: https://www.luxalgo.com/library/indicator/corrective-leg/ (LuxAlgo Library). Free to use with attribution: https://www.luxalgo.com/library/license/
