How to distinguish a diagonal from a standard impulse. The critical differences: wave 1/4 overlap, sub-wave structure (3-wave vs. 5-wave internally), wedge shape, and position in the larger wave.
Description
Diagonals and impulses can look similar, especially when the diagonal is contracting and trending. The key identifiers that distinguish a diagonal from an impulse are structural.
Checklist
- ✅ Diagonal: waves 1 and 4 overlap in price (this is the primary distinguishing feature)
- ✅ Diagonal: boundary lines form a wedge (contracting or expanding)
- ✅ 3-3-3-3-3 diagonal: each sub-wave (1–5) is a 3-wave corrective structure internally
- ❌ Impulse: waves 1 and 4 do NOT overlap (if they do, it is not a standard impulse — consider diagonal)
- ❌ Impulse: boundary lines are parallel (channel), not converging to a wedge
- ❌ Impulse: actionary sub-waves (1, 3, 5) each subdivide into 5 waves internally
Key Points
- Position check: if wave 1/4 overlap is present, check whether the pattern is in a wave 1 (leading diagonal) or wave 5/C position (ending diagonal)
- Wedge shape: a diagonal always has a wedge shape — if boundary lines are parallel, it is more likely an impulse
- 3-3-3-3-3 structure: if all sub-waves are 3-wave corrective structures, it is a 3-3-3-3-3 diagonal
- After an ending diagonal, a sharp and deep reversal follows — this is a powerful post-pattern signal
- Diagonal sub-waves must use numerical labels (1-2-3-4-5), not alphabetical labels
