In this lesson, we’ll build on The Elliott Wave Theory and start to use it as a whole package.
Wave 2 and Wave 4 are pullbacks - one can be very simple, and one generally more complex. Complex pullbacks have more of a price action pattern (such as a rising wedge within the pullback itself),
A simple pullback has no actual pattern within it, hence the term “simple pullback”. The idea here is that when wave 2 is simple, typically wave 4 will be complex and vice versa.