Crude Oil as of current drop within the newly labeled wave A looks to be trading in a complex correction of a higher degree. We see an unfolding idea of a seven leg correction, that could now be midway through its completion. That said wave A could be trading in late stages, as we can almost see a five wave structure within the mentioned wave. Once wave 5) of A finds a base, a new minimum three wave contra-trend reaction may follow within the following wave B.
Crude OIL, 4H
Elliott called sideways combinations of corrective patterns double threes and triple threes. While a single three is any zig-zag or flat, a triangle is an allowable final component of such combinations and in this context is called a three. A double or triple three, then, is a combination of simpler types of corrections, including the various types of zig-zags, flats, and triangles. Their occurrence appears to be the flat correction’s way of extending sideways action. As with double and triple zig-zags, each simple corrective pattern is labeled W, Y, and Z. The reactionary waves, labeled X, can take the shape of any corrective pattern but are most commonly zig-zags. Below is an example of most common complex correction; a double zigzag.
A double zig-zag pattern:
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