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Impulse

Wave 3

Usually the longest and most powerful impulse wave. Wave 3 is never the shortest of waves 1, 3, and 5. It commonly extends to 161.8% of Wave 1 and often features the strongest momentum, highest volume, and widest price bars.

EXAMPLE

In AAPL, Wave 1 moves $10, Wave 2 retraces $6.18, then Wave 3 surges $16.18 (161.8% of Wave 1).

RELATED TERMS

Extension
When one of the impulse waves (1, 3, or 5) subdivides into an elongated impulse ...
Fibonacci Extension
Price projections beyond 100% of a measured wave move. Common extension levels a...
161.8% Extension
The most important Fibonacci extension level in Elliott Wave analysis. Wave 3 fr...
Wave 2 RuleAll TermsWave 3 Rule