Extension
Extension in Elliott Wave Theory: When one of the impulse waves (1, 3, or 5) subdivides into an elongated impulse with exaggerated subdivisions. Wave 3 extensions are most common in stock markets. The extended wave is typically 161.8% or more of the next longest wave.
What Extension Means
When one of the impulse waves (1, 3, or 5) subdivides into an elongated impulse with exaggerated subdivisions. Wave 3 extensions are most common in stock markets. The extended wave is typically 161.8% or more of the next longest wave.
A Wave 3 extension in NVDA runs $80 while Waves 1 and 5 are each approximately $30.
Where You'll See It
Extension appears regularly in Artavest's weekly wave-count analysis across 108 US stocks and ETFs. It's part of the impulse family of Elliott Wave concepts and shows up most often when analysts are labelling the 5-wave impulse structure that drives the larger trend.
- → Elliott Wave Theory Guide — the 5-3 pattern, rules, Fibonacci, wave degrees
- → Elliott Wave Cheat Sheet — the 3 absolute rules and 6 Fibonacci relationships
- → Our Methodology — how Artavest analysts count waves on 108 US instruments