🔼Definition: A regular flat is a three-wave corrective pattern (labeled A-B-C) where waves A and B retrace a similar distance, and wave C typically ends slightly beyond the end of wave A.

🔽Structure:

Wave A: Initial corrective move

Wave B: Retracement that ends near the start of wave A (usually retracing 90% or more)

Wave C: Final leg that slightly exceeds the end of wave A

🔼Key characteristics:

Waves A and C are usually zigzags or impulses

Wave B is typically a corrective pattern

The end of wave C usually exceeds the end of wave A by a small margin

🔽Significance: Regular flats often represent a pause or consolidation in the larger trend. They're common in sideways markets or during periods of indecision.

🔽Trading implications:

After a regular flat completes, prices often continue in the direction of the larger trend

The slight overshoot of wave C can provide a good entry point for trades in the direction of the main trend

🔼Identification tips:

Look for a clear three-wave structure

Wave B should retrace most of wave A (typically 90% or more)

Wave C should slightly exceed the end of wave A

🔼Differences from other flat patterns:

Unlike an expanded flat, wave B doesn't exceed the start of wave A

Unlike a running flat, wave C does reach and slightly exceed the end of wave A

🔼Common mistakes:

Confusing a regular flat with a zigzag correction

Misinterpreting the end of wave C as a strong reversal point