Elliott Wave Structure
- Indicators
- Version: 1.0
- Activations: 5
Overview
Elliott Wave Structure is a technical analysis indicator designed to assist traders in identifying potential Elliott Wave formations directly on the chart. It applies a structured swing-detection algorithm based on price extremes to organize market movements into impulse and corrective sequences. The indicator does not predict future price movements. It provides structural interpretation of past price swings to support discretionary analysis.
How the Indicator Works
The algorithm is built on a dynamic swing identification model similar to ZigZag logic. It detects significant highs and lows based on a configurable deviation threshold. From these structural pivots, the indicator evaluates impulse sequences (1–5) and corrective structures (A–B–C). Wave labeling is recalculated dynamically as new price data forms. The calculation is purely price-based and does not use future bars.
Input Parameters
Depth: Controls the minimum number of bars required to form a swing point. Deviation: Defines the minimum price movement necessary to validate a new swing. Backstep: Specifies the minimum distance between consecutive swing points. Label Visibility: Enables or disables wave labeling. Color Settings: Allows customization of wave display.
Important Notes
Elliott Wave interpretation involves subjectivity. Automatic labeling should be used as structural guidance, not as a standalone trading signal. Trading financial markets involves risk. Past performance does not guarantee future results.
