Building off my previous post...
I identified a wave count too early on the lower timeframe. However, the idea of a retracing diagonal remains the same. Market is still forming Wave 1 of the overall Wave C (Blue) diagonal.
The rule of alternation is being satisfied in Wave 1 of the diagonal, as the first motive (Green A) was a zigzag. In order for alternation to be satisfied, a "flat" or "triangle" must be next. This is highlighted in orange as Wave B.
I identified a wave count too early on the lower timeframe. However, the idea of a retracing diagonal remains the same. Market is still forming Wave 1 of the overall Wave C (Blue) diagonal.
The rule of alternation is being satisfied in Wave 1 of the diagonal, as the first motive (Green A) was a zigzag. In order for alternation to be satisfied, a "flat" or "triangle" must be next. This is highlighted in orange as Wave B.