- Wave B typically retraces 38% - 79% of Wave A
US indices are renowned for following Elliott Wave very closely and it is worth to analyze to archive for future use.
Above is the S&P500 chart for the recent correction. Ignoring the Elliott Wave degree it is in and just solely focus on the present correction, it is no doubt doing a zigzag pattern of A-B-C. For each of A-B-C wave, there is another sub-level of a-b-c zigzag. The following is some of the statistic observed from it.
W5 = 2939.86
A-a = 2710.51
A-b = 2816.94 (46.41% A-a)
A = 2603.54 (93.05% A-a)
B = 2815.15 (62.92% A)
C-a = 2670.75
C-b = 2746.75 (52.63% C-a)
The guidelines for a zigzag correction state that :-
