Ratios of Elliot waves =============================================== wave 2 Retracements 12% of 38.

2% 73% between 50% to 60% 15% below 62% ================================================ wave 3 1.62 x length of wave 1 2.62 x length of wave 1 4.25 x length of wave 1 We can anticipate 45% of wave 1 between 1.62% to 1.75% x wave1 We can anticipate 30% of wave 1 between 1.75% to 2.62% x wave1 only 8% goes beyond 2.62% x wave1 ============================================== Wave 4
24% of Wave 3, or 38% of Wave 3, or 50% of Wave 3, or 62% of Wave 3 We can anticipate 15% Retracement between 24% to 30% x wave 3 We can anticipate 60%Retracement between 30% to 50% X wave 3 We can anticipate 15% Retracement between 50% to 62% x wave 3 we can anticipate 10% Retracement 62% or greater

Wave 4 Retracement calculates two ways from end of W2 to end of W3, backup is from beginning W1 to end of W3 ============================================================= Wave 5 If wave 3 is more than 1.62% of wave 1 then wave 5 might be equal to = wave 1, or = 1.62 x wave 1, or = 2.62 x wave1 OR If wave 3 is less than 1.62% of wave1 then wave 5 Ratios might be 5 = .618 x (1--3) beginning of Wave 1 TO top of wave 3 5= 1 x ( 1--3) beginning of wave 1 To top of wave 3

5= 1.618 X ( 1--3) beginning of wave1 To top of wave 3 ===================================================

It is always anticipated that retracement to anystock will happen at 38.2%. But circumstances may even lead to retracement happening to 50% level or closer to 61.8%. What are Expansion levels: Coomon Expansion levels are .618 / 1 / 1.618 The calculation are as follows .618 = .618 ( B -A ) + C 1 = B -A + C 1.618 = 1.618 (B - A ) + C

.618 of Expansion level is called TGT I. 1 of expansion level is called TGT II and 1.618 of Expansion level is called TGT III Hypothetical uptrend example: POINT A is Rs.20, Point B is 100 and the retracement of POINT C is 60. TGT I = .618(100-20)+60 = 109.45 TGT II = 100- 20 + 60 =140 TGT III = 1.618 (100-20)+60 =189.45 That means what ?? If you enter long at 60, your TGTs are 109.45 / 140 / 189.45 Now let us take the downtrend: Point A is 180 and point B is 100 and point C on retracement is 140 Now the TGTs are as follows: TGT I = .618(100-180)+140 = 90.56 TGT II = 100-180+140=60 TGT III = 1.618 (100-180)+140=10.56
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There are many ways to apply Fibonacci studies to technical analysis and we also look for Fibonacci ratio relationships between the related waves in a cycle. Here are some common ratios to look for.... Wave 3 to wave 1 1, 1.618, 2.618, 4.236... Wave 5 to wave 1 0.5, 0.618, 1, 1.27, 1.382, 1.618...

When one of the impulse waves extend, there are some common

relationships to look for and an example of this can be seen in these charts.

Common retrace ratios for corrections are Wave 2 0.616, 0.786 Wave 4 0.382, 0.5 B waves 0.5, 0.618, 1.00, 1.27 Wave 2s are often sharp and deep. In an ideal world they would retrace 0.618 or 0.786 most of the time. Wave 4s tend toward a shallower retrace and will often find support at the 0.382 level of wave 3. B waves are generally less consistent and tend to vary in length more.