A little from history.
In August 2005 my article about a new wave pattern in FX market (refer to
Wave pattern “Running triple three” in FX) was published in the Forex Magazine #83. Those who read the article may remember the following passage:
“Of course, such significant coincidences both in characteristics and features between horizontal triangle and proposed
running triple three suggested not only a tentative term
“running triangle” , but also the triangle notation system a-b-c-d-e. But this term had been already introduced in the wave theory by A. Frost and R. Prechter and unites patterns with different characteristics.”
As the suggested wave pattern was new for the existent catalogue of wave patterns this naturally involved the classification of corrections as well. That was the reason why a summary description of the new pattern and its grounding were sent to Elliott Wave International (EWI) to Robert Precther who is the leading specialist of world-wide reputations in Wave Principle. Almost all wave analysts at least in Russia and in the former USSR countries were learning Wave Principle from his books.
Maestro agreed that such wave structure occurs in financial markets. But his view about the name and place of this pattern in the catalogue of correction wave patterns differed somewhat from mine. So we started holding correspondence changing our opinions, searching for variants of names, classifications and their groundings.
As a result of my researches an article about proposed classification of expanded corrections (refer to
Expanded wave corrections classifications ,
New wave pattern and new expanded corrections classification in FX) was published in last October in the Forex Magazine #91. Of course its translation was sent to Bob.
We renewed correspondence. At the next stage Bob’s colleague Davе Allman joined the discussion, while Prechter put forward the following suggestion.
As the name “running triangle” reflects the characteristics of this pattern best of all he proposed to give it this name. Remember Latin proverb “To call means to know” (Nomen nest numen). But what to do with a category of triangles which were known under this name already? And Dave suggested a rather consistent solution – to rename the old pattern “running triangle” into “expanded triangle”.
From my point of view it would be the best solution, as a clear connection inside the classes of
running and
expanded patterns was seen already (refer to the pictures below). But only the man who introduced this term into the wave theory, i.e. Robert Pretcher, could do this.
Simply to
running wave flat a pair of
running waves was added and a
running triangle appeared.
The old running triangle in this case was renamed into
expanded triangle, on the analogy with expanded flat. It differs from
expanding triangle by converging defining lines.
But… Justified Bob’s fears that there would be confusion with the names “expanded triangle” – “expanding triangle” led to a compromise result – the pattern was called
Skewed Triangle.
An article about this written in collaboration with EWI was published in the latest issue of Robert Pretcher’s journal
The Elliott Wave Theorist (April 18, 2006) (PDF-format), which I’m pleased to present here.
Those who noted a small inaccuracy in my e-mail address at the end of the article write to a correct address
forDmitry@yahoo.com ;)
So the old name of the pattern
running triple zigzag (RTZ) should be replaced with the new one –
skewed triangle (ST).
[Several days later once this issue was released May issue of EWT was published. Another example of the skewed triangle (this time in gold market) was given there (refer to the Figure below).
This variant was sent to EWI by one of the readers of the journal.
As for individual stocks and stock indexes (including DJIA) skewed triangles patterns, found there in collaboration with EWI, should be examined thoroughly. But they are there, believe me ;)]
Dmitry Voznuy
forDmitry@yahoo.com
April 19, 2006
Do not reproduce without explicit permission of EWI and Alpari.
