You need multiple waves to create a pattern.
[Source: Anil Mangal]
Look for 1.) Impulse moves and 2.) Correction moves.
An impulse move is an overall trend or general direction. Impulse moves are often composed of 3-5 sub-waves. Correction moves are sideways or in the opposite direction of the impulse trend. Correction moves are often composed of 3 sub-waves. [Source: Anil Mangal]
Impulse moves are sharper. Correction moves tend to have more waves in them than impulse moves. [Source: Anil Mangal]
FIBONACCI Trading: The Secret to Using the Fibonacci Extension Tool and Learn the Secret to Trading FIBONACCI Retracements