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com
Disclaimer:​ This cheat sheet does not portray ALL Elliott Wave information but the most relevant information that I felt
would be the most useful for individuals that have taken my Elliott Wave Masterclass. It also includes information of my
own bias and findings over 3.5 years of daily study, data collecting and trading in the crypto markets with Elliott Wave.
Some of the information in here is specific findings to the crypto market. Nothing is to be construed as financial advice.
This is for educational purposes only as I have created a strong and proven Elliott Wave trading system that has garnered
results for hundreds of students now and I wanted to create an Elliott Wave cheat sheet that was superior to anything I’ve
come across on the market that basically just copycats each other. This cheat sheet offers a higher perspective of looking
at Elliott Wave that many might not have considered given traditional teachings. I hope you enjoy it.

If you’d like to provide feedback on this PDF please email me at: [email protected]

A Key Take Away From Years Of Experience and Application:

Elliott Wave is a visual representation of human behavior in the market that can be seen in fractals down to the one minute time
frame. Now-a-days the representation of “human behavior” encompasses bot trading, fundamentals, technical analysis, strategies,
and much more, however the original Elliott Wave patterns and its core rules governing it have stayed true in the charts and I have
found it to be the best way of interpreting, understanding and predicting market structure.
A large observation has been observed through my studies of various markets and extensive research and backtesting of Elliott
Wave and that is... “every market has its own personality that constructs its Elliott Wave which can be seen through the guidelines.
The rules will always stay the same, but the guidelines differ slightly per market, as such, for a beginner Elliott Wave trader it’s
important to focus on one market at a time and even more specifically one asset in order to master and accelerate the learning
process.

There are 2 key problems I observed in the Elliott Wave industry that drove me to begin this journey with Elliott Wave and teaching it.

1. There is a large amount of incorrect information out there and the information being delivered on Elliott Wave is general
information that offers little application to the charts.

2. Most Elliott Wave is used for analysis and not trading, which results in most aspiring students of Elliott Wave not being able to
apply it to profitable trading but just trying to guess the “right count of the market”, as such I was inspired and felt a moral obligation to
share my system and strategies that was lacking with Elliott Wave teachings I had experienced.

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 The Elliott Wave masterclass I put together is a series of 20+ videos that walk you through a more in-depth understanding of
Elliott Wave including time relationships, actual trading strategies specific to Elliott Wave that have been proven with other students
and myself for the past 3 years.

It also sheds a different perspective of looking at Elliott Wave through a system I created and call “count overlaying” as well
as 2 unspoken rules that I have brought awareness to that most people just don’t think about, but simplifies the way we trade and
count with Elliott Wave.

I also teach members my entire trading system in there so that everything is 100% applicable after completing the course. It’s
a fantastic masterclass that is going to be the go-to way to learn Elliott Wave throughout the industry. If you’d like to get a copy
yourself or learn more please use the following link:
https://www.masterelliottwave.com​ or ​https://www.tradethewave.com/masterelliottwave

Although this cheat sheet offers a ton of value I have kept the best and most valuable information for the masterclass and
those that invest in themselves.

**ATTENTION**
When it comes to Elliott Wave it’s important to think outside the box to get to know the personality of the asset you are
trading, different assets will experience one type of correction more often than others, it will hit a particular fib extension or
retracement more often than others, for example, Ethereum loves the .786 retracement whereas Bitcoin loves the .618 and in strong
trending markets loves the .382.
This is a reflection of each of their personalities. Every asset has a slightly different personality because of the type of investor
it attracts and a few other factors like market cap. think of penny stocks vs blue chip stocks, vs crypto. Think of the leverage allowed
in some markets and not others, etc. Use this perspective to look at the markets differently and you’ll develop a stronger relationship
with them.

NOW LET’S DIVE IN!

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**​It all starts with the Rules because they can’t be broken, so you know 100% when you have a valid count. The guidelines thereafter
are used to increase or decrease the probability of a particular count to give you a stronger bias and a trading plan.​**

The complete framework and system can be found inside the masterclass.

Elliott Wave Rules (These MUST be true every time you create a count)

1. Wave 2 doesn’t retrace below the start of wave 1 and CANNOT be an impulse structure
2. Wave 3 isn’t the shortest wave and must be an impulse structure.
3. Wave 4 doesn’t come into wave 1 territory unless its a diagonal (In a diagonal it can’t retrace beyond wave 2)
4. If a structure starts with 5 waves it must end with 5 waves (Unspoken Rule established by NWT)
5. 5 Waves is always the START or END of a structure (Unspoken Rule established by NWT)
6. Waves 2 & 4 must be corrective structures. Wave 2 can’t be a triangle.
7. Waves 1,3,5 must be impulse structures, Wave 3 can’t be a diagonal where wave 4 encroaches on wave 1.
8. Leading diagonal as wave 1 can be a hybrid structure that takes the form of 3,3,3,3,3 or 5,3,5,3,5
9. Ending diagonals can ONLY be a 3,3,3,3,3 structure.

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 Elliott Wave Guidelines
(Guidelines are used to increase or decrease the probability of counts)

Guidelines are focused around these categories:

1. Time
2. Equality/Size
3. Angle

These guidelines are mentioned throughout the visual illustrations but are listed below as well (There are a lot so be patient)

Impulse Structure Guidelines:

1. Waves 2 and 4 typically alternate in time and type of correction, i.e simple vs complex. Fast vs slow, deep vs shallow
2. If wave 1 is a leading diagonal, its likely wave 3 will be over extended
3. If wave 1 is a leading diagonal, its likely the 5th wave will not be an ending diagonal.
4. If wave 3 is over extended, its typical for the 5th wave to double top, be truncated, or be an ending diagonal.
5. If wave 2 retraces below .618, chances increase you’re dealing with a B wave or counting your wave 1 wrong.
6. If wave 2 takes more time than wave 1 took to form, it’s likely a B wave.
7. A running flat in the 4th wave is common in a trending market.
8. Expanded flats are typically seen after 5th waves or extended 5th waves.
9. Waves 2 and 4 should take at least .33 the time of the previous wave to form.
10. Waves 1 and 5 tend to equality in size, time and angle, OR relate to each other by a fibonacci number such as .382 or .618.
11. Waves 1,3,5 tend to have parallel angles.
12. A trend line drawn from pivots 2 and 4 should be respected til wave 5 has completed. Once broken, the structure is done.

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Impulse Fibonacci Guidelines:
1. Wave 2 typically retraces to .5/.618 and in aggressive trending markets .382.
2. Wave 3 typically extends to 1.618 2.236 or 2.618 of wave 1 if over-extended.
3. Wave 5 typically extends to 2.236 of wave 1 using pivots 0,1,2 or 3.236 in an over extended 3rd wave.
4. Wave 5 when extended typically hits 1:1 of waves 1 and 3 combined. Measured using pivots 0,3,4 and targeting 1, and 1.618.
5. Wave 4 typically retraces back to .236 and .382. Usually .5 is MAX, beyond .5 and you’re often in wave 1 territory, get a truncated
5th or counting wrong.
6. Using a fib retracement tool on wave 4, the 5th wave likes to target 1.236 or 1.618 as popular retracementl fib #’s.

Note:​ Fib #’s are a great example of a guideline that will adjust slightly depending on markets. You’ll see some traders use slightly
different fib #’s. Develop strategies that are consistent with the same numbers. .272 vs .236 is not the magic difference in your
trading results.

Impulse Time Guidelines:

1.Wave 2 typically doesn’t take longer than wave 1
2. Wave 3 usually takes as much time compared to wave 1 as it extends. Example: Wave 3 extends to 1.618, it will usually relate in
time to 1.618 of wave 1. OR it will relate by a fib #, such as .618, 1, 1.236, 1.618.
3. Wave 5 relates to wave 1 in time by a fibonacci # of .382 or .618, or by equality.
4. Waves 2 and 4 should take .33 in time of its previous wave. I.e wave 4 should take a third of the time wave 3 took to form.

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Illustrations and Notes of Impulse Waves

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ABC Corrections

ABC Rules:
1. C must always have 5 waves
2. If it starts with 5 it can only be a zigzag abc correction.
3. 5 waves is always the start or end of a structure.
4. 50% of the different types of abc corrections have an expanded B wave.
5. A and B can have any 3 wave structure in them.
6. A wave CAN’T be a triangle.
7. B waves can be a triangle.
8. C wave can be an ending diagonal because its a 5 wave impulse structure.

ABC Fibonacci Time, Extension and Retracement Guidelines:

1. Wave C is the most aggressive in zigzag and expanded flats.
2. The C wave can be considered “elongated” which means it goes beyond 1.618
3. Typically a C wave will extend to 1, and 1.236/1.382. The most common being 1:1.
4. Specifically to crypto there is not a minimum requirement for B waves of a flat, however, usually B waves of a flat will retrace
beyond .618 and up to 1.382 with an invalidation at 1.618 retracement.
5. Wave A and C tend towards equality of size, angle, and time.
6. All legs of an ABC tend to relate to each other by a fibonacci #, such as, Wave A is .382 the size of C, and B is .618 the size of C,
therefore A+B = C in time. You can assort this into the following formulas >>> B+C = A, A+C = B, The majority of the time the B wave
takes the longest however.
7. Using a trend based fib time tool on tradingview you can use pivots 0,A,B and target 1 for the C wave.
8. Using the fib time zone tool on tradingview you can use pivots 0,A and target 2.618 and 3.

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WXY Corrections (Not So Complex)

WXY’s only have ONE difference between ABC’s… The Y wave has 3 waves in it instead of 5 like the C wave.
WXY’s are just a labeling for multiple ABCs in a row. A single WXY is 3 ABC’s, a WXYXZ is 5 ABCs. There are some differences in
personality though which are highlighted in the illustration below.

WXY’s almost always look like an ABC correction, but fails to develop 5 complete waves in the last wave.
When a trend starts to carry on in a channel for more than 3 waves and the MAJORITY of the waves tend to equal sizes it’s because
you’re dealing with a WXY/WXYXZ.

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Triangle Corrections:
Triangles have a total of 5 waves that all consist of 3 waves abc/wxy structures. The highs and lows cannot trend in the same
direction, i.e. higher highs and higher lows is not acceptable, because then you would be creating a diagonal/wedge pattern.

Triangles are a common pattern found because its seen as price contracting, which happens a lot, but the actual internal wave
structure is rarely a triangle. 99% of the time you’re going to count and trade these structures like ABC’s/WXY’s and only when the
triangle completes its last wave will you acknowledge that it was a triangle.

Triangle Rules:
1. Triangles can’t be in waves 1,2,3,5. They can only be in waves 4 of an impulse, B of an abc, OR the X,Y,or Z wave of a complex
structure, however you can’t have more than one triangle per complex structure. Complex structure is defined as a WXY/WXYXZ.
2. The highs and lows of the wave pivots can’t move in the same direction, they must either contract, or expand. This is why 2 of the
5 types of triangles have a solid line as a resistance or support depending on the triangle, because highs and lows can’t move in the
same direction, ie.trending.
3. Only the E wave of a triangle can be a triangle itself (Very rare)
4. A triangle will respect the boundaries of a trendline drawn from B/D and another drawn from A/C.
5. True Triangles are always continuation patterns except in a Y or Z wave.

Triangle Guidelines:
1. 4 of the 5 waves in a triangle likely will be zigzags
2. The waves all relate to the previous wave by a fibonacci number for retracements and extensions.
3. Because price is contracting or expanding you won’t get any 1:1 extensions for ABCDE
4. The E wave does not have to touch the A/C trendline prior to breaking out.
5. The internal wave structure of a triangle will be the biggest identifier of a true triangle. A WXY in the 4th wave followed by an
ending diagonal will camouflage itself perfectly.
6. Majority of the time the RSI will create the same triangle pattern, if it doesn’t there is a high probability the count is something
different.
7. Waves A,C,E tend to have a similar angle/parallel of incline/decline. Waves B,D tend towards a similar angle/parallel of
incline/decline.

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Diagonals

Diagonals take corrective sub-wave structures and group them in with impulses so you have to be aware of this when acknowledging
diagonals.

Strategy 2 for reentry into the trend to play the 3rd wave has less probability of success with diagonals because they are commonly
miscounted structures. In crypto and more specifically Bitcoin and Ethereum diagonals are more commonly seen under the 1 hour
time frame.
Note:​ The only difference between leading and ending diagonals is that ending diagonals MUST be a 3,3,3,3,3 structure and leading
diagonals can be hybrid.

Diagonal Rules:

Leading Contracting Diagonals:

1. Must be a 5 wave structure that has internal sub-wave counts of 3,3,3,3,3 or 5,3,5,3,5 for both contracting or expanding types.
2. Wave 4 must retrace less in price and in time than wave 2.
3. Wave 3 cannot be the shortest wave
4. Wave 5 should do 70% of wave 4
5. Waves 2 and 4 can’t be impulse waves
6. Wave 4 cannot retrace the start of wave 2
7. Wave 2 cannot retrace the start of wave 1

Leading Expanding Diagonals:

1. Wave 4 retraces more price than wave 2
2. Wave 3 cannot be the shortest wave
3. Must be a 3,3,3,3,3 or 5,3,5,3,5 structure in the subwaves
4. Wave 4 cannot retrace the start of wave 2
5. Wave 2 cannot retrace the start of wave 1

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Leading/Ending Diagonal Guidelines:
1. Wave 5 should do 70% of wave 4.
2. Waves 1,3,5 tend to angles of equality.
3. Wave 4 typically comes into wave 1 territory, but its not mandatory.

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