In my previous post I had mentioned the possible bottoming out. In this regard I had explained the construct of an expanded triangle.(Given in orange in above figure) Had also talked about an ending zigzag pattern (ALTERNATIVE zigzag completion of the correction) , given in green above.
A triple zigzag correction is a complex correction pattern in Elliott wave theory that consists of three sets of zigzag patterns. This correction is labeled as W-X-Y-X-Z and is a more complicated pattern than a simple zigzag correction.
In a triple zigzag correction, the first zigzag pattern (W) will occur and may or may not be large, and will be a move against the prevailing trend. This is followed by a corrective wave (X) that retraces a portion of the first zigzag pattern. The second zigzag pattern (Y) will then move in the opposite direction of wave X, followed by a second corrective wave (X) that retraces a portion of wave Y. Finally, the third zigzag pattern (Z) will occur.
In classical wave theory, W is said to be the longest, though in my personal experience I have not found evidence for same.
A triple zigzag correction can occur in both bullish and bearish trends and is useful for traders and investors in identifying potential market turning points. However, as with any technical analysis tool, it’s important to consider other factors and use multiple alternative counts before coming to a conclusion.
IN CASE THE MARKETS MOVE BELOW 16900 FOR SOME REASON IN COMING DAYS, THIS WAVE COUNT IS CANCELLED.