Skip to main content
Corrective

Regular Flat

A regular flat is a three-wave corrective pattern (A-B-C) where Wave B retraces approximately 90% to 100% of Wave A, and Wave C is roughly equal in length to Wave A. It is actually the rarest type of flat correction. Most traders expect flats to be common, but in practice, expanded flats appear far more often. In a regular flat, the pattern moves sideways in a tight range. Wave A sets the range, Wave B comes back to near the start, and Wave C drops to near the end of Wave A. The structure is 3-3-5, meaning Waves A and B each subdivide into three sub-waves, while Wave C subdivides into five. You spot regular flats when price chops sideways with minimal net progress. They tend to appear in Wave 4 or Wave B positions.

EXAMPLE

In a stock trading at $50, Wave A drops to $45 in three sub-waves. Wave B rallies back to $49.50, retracing about 90% of Wave A. Wave C then declines to $44.50, roughly equal to Wave A's 5-point length. The entire pattern takes the stock from $50 to $44.50 in a sideways grinding fashion. A trader recognizing this flat at the Wave C low would look to buy, expecting the next impulse wave to begin.

RELATED TERMS

Flat
A flat is a three-wave corrective pattern labeled A-B-C with an internal structu...
Expanded Flat
An expanded flat is the most common type of flat correction and one you'll encou...
Running Flat
A running flat is one of the rarest corrective patterns you will encounter. The ...
Primary DegreeAll TermsRunning Flat
Chat with EWS Helix