elliottCorrection

The Elliott Correction (often called the ABC pattern) is the counter-move that follows an impulse wave. It usually consists of three legs: A (first move against the trend), B (temporary retrace), and C (final leg continuing the correction). Traders use it to anticipate when a pullback might end before the main trend resumes.

Syntax

elliottCorrection(originPoint, pA, pB, pC, styles?)

Parameters

originPoint (PricedData) · The starting point before the correction begins. pA (PricedData) · End of wave A (initial counter-trend move). pB (PricedData) · End of wave B (temporary retrace in the direction of the prior trend). pC (PricedData) · End of wave C (final correction move). styles (ElliottCorrectionStyleOverrides) · Style and look:

• fillBackground (boolean) · Fill the corrective area.

• transparency (number) · Adjust fill transparency (0–100).

• showLabels (boolean) · Display labels A, B, C.

• line (LinesLevels without coeff) · Style for the connecting lines (linestyle, linewidth, color).

• background (RGBAColor | BaseColors) · Color for the inside fill.

Return Value

(string) · The drawing ID of the created Elliott Correction.

Example

Every 80 candles, draw an Elliott Correction (ABC) after a swing using four pivot points.

//@version=1
init = () => {
  indicator({ onMainPanel: true, format: 'inherit' });
};

onTick = () => {
  if (index % 80 === 0) { // draw every 80 bars
    // 1) Define anchors
    const O  = newPoint(time(100), high(100));
    const A  = newPoint(time(75),  low(75));
    const B  = newPoint(time(55),  high(55));
    const C  = newPoint(time(30),  low(30));

    // 2) Style settings
    const style = {
      fillBackground: true,
      transparency: 80,
      showLabels: true,
      line: { linestyle: 0, linewidth: 2, color: color.red },
      background: color.rgba(255, 0, 0, 0.2)
    };

    // 3) Draw correction
    elliottCorrection(O, A, B, C, style);
  }
};

Tips

• The C wave often ends near the 0.618–0.786 retracement of the prior impulse.

• Corrections may take different shapes (zigzag, flat, triangle), but the ABC structure is the most common.

• Use ABC as a pause signal — after it completes, look for a new impulse wave to continue the main trend.

Warning

• Don’t confuse a shallow pullback with a full ABC correction — ensure you see three distinct swings.

Good Practice

• Keep corrective patterns styled differently from impulses (e.g., red for corrections, green for impulses) to easily distinguish them.

• Confirm with Fibonacci retracements and oscillators to validate the completion of the C wave.