As of 01/27/2023
  Indus: 33,978 +28.67 +0.1%  
  Trans: 14,483 +191.14 +1.3%  
  Utils: 968 +1.08 +0.1%  
  Nasdaq: 11,622 +109.30 +0.9%  
  S&P 500: 4,071 +10.13 +0.2%  
YTD
 +2.5%  
 +8.1%  
 +0.0%  
 +11.0%  
 +6.0%  
  Targets    Overview: 01/13/2023  
  Up arrow34,900 or 33,150 by 02/01/2023
  Up arrow15,100 or 13,500 by 02/01/2023
  Up arrow1,040 or 950 by 02/01/2023
  Up arrow12,400 or 11,000 by 02/15/2023
  Up arrow4,100 or 3,800 by 02/01/2023
As of 01/27/2023
  Indus: 33,978 +28.67 +0.1%  
  Trans: 14,483 +191.14 +1.3%  
  Utils: 968 +1.08 +0.1%  
  Nasdaq: 11,622 +109.30 +0.9%  
  S&P 500: 4,071 +10.13 +0.2%  
YTD
 +2.5%  
 +8.1%  
 +0.0%  
 +11.0%  
 +6.0%  
  Targets    Overview: 01/13/2023  
  Up arrow34,900 or 33,150 by 02/01/2023
  Up arrow15,100 or 13,500 by 02/01/2023
  Up arrow1,040 or 950 by 02/01/2023
  Up arrow12,400 or 11,000 by 02/15/2023
  Up arrow4,100 or 3,800 by 02/01/2023

Bulkowski on Wave One Extension Elliott Wave Pattern

This page describes the wave one extension pattern of the Elliott wave principle, how price moves not in a straight line but in a series of rises and retracements.

 

The wave one extension in a bull market. The figure to the right shows what a wave one (first wave) extension looks like in a bull market. An extension is an unusually long impulse wave with exaggerated subwaves, according to Frost and Prechter.

Many impulses contain only one extension in their actionary subwaves. That is, only one of the waves 1, 3, or 5, will be extended. When an extension occurs, it will likely occur during wave 3. The subwaves within an extended wave have nearly the same duration and amplitude.

Four subwaves join the five wave impulse to complete the extension. I show this as four waves in black followed by five waves in red in the chart above. Knowing that wave one extends suggests waves three and five will be normal length.

 

The wave one extension in a bear market. The chart on the right is the same as the prior one but the wave occurs in a bear market. Again, black shows the four wave extension leading to the five wave impulse in red.

Wave One Extension Rules

The wave one extension has rules that govern its shape. They are listed here.

-- Thomas Bulkowski

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See Also

 

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