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What are some reliable ways to identify degrees in wave formations? Answer: This question was posed by Michael R. of Evansville, Indiana. Degree is a relative, not an absolute, concept. Any wave formation could be considered a Primary, Minor, Intermediate or even a Micro degree. Once you decide on a degree name to apply to a specific monowave or group of waves, then the degree concept takes hold. Let`s assume you decide to call a 5-monowave cluster that consumes 5 days and $5 a Minor degree formation. The minute you do that, you are creating a price/time/complexity defintion for what constitutes a Minor degree. From that point, both forward and backward in time, the "degree" label you place on all surrounding monowaves, polywaves and multiwaves will be determined by the definition you decided to give to Minor degree. Applying the concepts in Mastering Elliott Wave on pages 4-3, 4-4 and 4-5, any pattern that consumes more than three (3x) times the price/time/complexity of your self-defined Minor degree pattern MUST be of a higher degree (i.e. of Intermediate degree or higher). Any pattern that consumes 1/3 the price/time/complexity of your 5-legged, 5-day, $5 Minor degree formation MUST be of a lower degree (i.e., of Minute degree or lower). The closer two waves are in time, price or complexity, the more likely they are of the SAME degree. Using the concepts in Mastering Elliott Wave on the pages mentioned above, and the example given here, should make the process of applying proper wave degree labels much easier. Glenn Neely

Neowave.com