Stage 1 initiates when the EMA9 trend ends. Price then does the EMA Dance during which we keep playing for a directional move. Stage 3 initiates when the EMA Dance has played all its cards, and the EMA50 has failed its second break attempt. Therefore the final RT of the EMA Dance confirms stage 2 complete, and this is where stage 3 starts.
In short, the EMA Dance starts with the EMA9 RT, then the EMA50 Push. After the EMA50 Push, the EMA9 has to lead. Failing to lead initiated the EMA50 RT.
Here is the key to base boxes: after the EMA50 RT, again EMA9 has to lead. If price reclaims EMA9 instead, that is the Dual Break Fail that initiates the base.
I have visualised this in the chart below. Stage 1 starts at the low, and doesn’t shift place if that low undercuts. Stage 2 ends when the final RT in the EMA Dance has failed to produce a directional move.
Remember this parameter from the EMA Dance concept? The dual break fail initiates the base: