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📘 Wave Theory Course

First Lesson: What is Wave Theory? Introduction to Core Concepts

Wave Theory (Elliott Wave Theory) is a market price cycle theory proposed by R.N. Elliott. He discovered that market fluctuations are not random but occur in a regular 'wave pattern'.

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🌊 Basic Principles:

A complete wave cycle consists of:

• Five Rising Waves (Impulse Waves): called 1-2-3-4-5 waves

• Three Corrective Waves: called A-B-C waves

This '5+3 Structure' forms a complete wave segment and continuously reappears in trends at all levels.

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🧠 The Nature of Waves:

Waves reflect the response patterns of human collective psychology—emotions such as greed, fear, doubt, and optimism leave traces in prices.

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📈 What Can Wave Theory Do?

• Analyze which stage the market is in (impulse or correction)

• Predict possible future price structures

• Help design risk management and entry-exit strategies