Expanding Triangle (Elliott Wave)

This is a five-wave pattern in which the waves are constructed of three waves. There are two different forms of this:

(1) The pattern emerges normally between two rising (or falling) diverging lines. It is most commonly found in wave 5 positions and occur before a large reversal in trend direction.

(2) The pattern emerges normally between one rising and one falling diverging lines. In this situation it is a continuation pattern and is merely an inverted standard triangle.