Elliott Wave Education: Glossary
Common Abbreviations/Jargon.
- ACCT = Account
- AH = After Hours (usa hours)
- ATH = All Time High
- BE = Break Even
- BTFD = Buy The F**** Dip
- BTW = By The Way
- C = Close
- CABPCR = Cow A. Bunga Put Call Ratio ("Cow A. Bunga" the nickname for Zac)
- CASH = Non Futures Markets of Indexes
- CB = Central Bank
- CH = Channel
- CIT = Change In Trend - due to fib timing or other timing
- D = Day or Daily
- DB = Double Bottom
- DT = Double Top
- DT = Down Trend
- DTL = Down Trendline
- ECB = European Central Bank
- ED = Ending Diagonal
- EOD = End Of Day
- EOM = End Of Month
- EOW = End Of Week
- ER = Earnings Release
- ES = Spx Futures
- ETF = Exchange Traded Fund
- EU = Euro Zone
- EW = Elliott Wave
- EXT = Extension (usually referring to fibbo extension)
- FED = Federal Reserve of US
- FIB = Fibonacci
- FID = Fidelity
- H = High
- HFT = High Frequency Trading
- HOD = High Of Day
- HR = Hour Hourly
- HS = Head and Shoulders
- HV = Have
- IB = Interactive Brokers
- IHS = Inverse Head and Shoulders
- IMF = International Monetary Fund
- IMHO = In My Humble Opinion
- IMO = In My Opinion
- ITM = In The Money Options
- L = Long
- L = Low
- LD = Leading Diagonal
- LOB = Look Out Below (an avi-ism)
- LOD = Low Of Day
- LOL = Laugh Out Loud
- M = Minute
- MHO = My Humble Opinion
- MO = Monthly
- NQ = Nasdaq Futures
- O = Open
- OHLC = Open High Low Close
- OMH = One More High
- OML = One More Low
- OPEX = Options Expiry Friday
- OTM = Out of The Money options
- P = Pivot
- PB = Pull Back
- PF = Point and Figure
- PIRATE NINJA = Set-up via corrective retrace for potential measured move.
- PM = Premarket USA Hours
- PT = Point
- R = Resistance
- R1 R2 R3 = Resistance Pivots
- ROFLMAO = Rolling On The Floor Laughing My A** Off
- RTH = Regular Trading Hours
- S = Support
- S1 S2 S3 = Support Pivots
- SS = Short Sell
- TA = Technical Analysis
- TF = Russell Futures
- TIA = Thanks In Advance
- TL = Trendline
- TMAR = Take the Money And Run
- TMI = Too Much Information
- TOM = Tomorrow
- TOS = Think Or Swim
- TS = Trade Station
- TU = Thank You
- TUVM = Thank You Very Much
- TX = Thanks
- U = You.....
- UT = Up Trend
- UTL = Upper Trendline
- W = Wave
- W-E = Weekend
- WK = Week or Weekly
- Y = Yes
- YDAY = Yesterday
- YM = Dow Futures
- YR = Year or Yearly
- ZB = 30yr bond futures
- ZN = 10yr bond futures
- ZZZ = Market is Asleep
Fibonacci Pinball
In Elliott Wave analysis, it's critical to distinguish whether we are in a 3 or 5 wave pattern. Here, Fibonacci calculations of extensions and retracements, based upon Phi (The Golden Ratio), are essential. A standard Wave 1 will extend to the .382 or .618 extension of the entire move. It then pulls back in a Wave 2, generally to the .500 or .618 retracement level of the Wave 1. It is then followed by a 3rd wave that subdivides, and this is where an Elliottician makes the distinction between an impulsive 5-wave move or a 3-wave corrective move. This is something Avi lovingly calls "Fibonacci Pinball." Ultimately, the way that we know that a movement within the market is going to be a 5-wave move as opposed to a 3-wave move happens during the potential Wave 3.
- Slide Show
- Video (see minute 16 for discussion of "Fib Pinball")
- Text
Standard Impulse Wave
Strong, trending price move consisting of 5 waves. Waves 1,3 and 5 are impulsive, or motive waves, and move in the direction of the trend. They subdivide into a 5-wave structure, which are designated by numbers. Waves 2 and 4 are corrective -- moving counter to the trend -- and subdivide into 3 waves, which are designated by letters. Some basic rules: Wave 2 never retraces beyond the start of Wave 1; Wave 3 cannot be the shortest of the three impulse waves; Wave 4 does not overlap with the price territory of Wave 1; and Waves 2 and 4 tend to alternate in form. (A sharp move in Wave 2, for example, will suggest a mild move in Wave 4.) Also, sub-waves should exhibit Fibonacci relationships.
Impulsive Waves
- Ending Diagonals: A 5 wave overlapping move found in Wave 5 and C waves.
- Leading Diagonals: A 5 wave overlapping move found in Wave 1 and A waves
Corrective Waves:
These are countertrend 3 wave structures (labeled A, B, and C) that only retrace a portion of its preceding motive wave. They are more variable than a motive wave, and often do not show the strength that its preceding motive wave had. Corrective waves are often very hard to label while they are playing out, especially in the early stages of them and are often not clear until they are almost over. Wave 2's typically are Zigzags or Flats (VERY rarely triangles), more likely to be a deep, fast correction Wave 4's are the most complex and often shallow flatter corrections (triangles are more likely in 4th waves and B waves).
- Flats: A 3-wave move that corrects sideways. Triangles: A sideways consolidation typically found in Wave 4 and B waves. Zig Zags: A 3-wave counter trend move found in Waves 2 and 4, and in A waves and B waves. WXY(XZ) Combinations: A variable type of complex correction.
No Credit Card Required