Hey Guys,
The following is the details of the analysis:
Wave 1, 2, and 3 Completion:
Wave 1 marks the initial move after the reversal.
Wave 2 is a corrective pullback.
Wave 3 is the subsequent strong move in the trend direction. In Elliott Wave Theory, Wave 3 is often the longest and strongest, commonly reaching at least the 1.618 Fibonacci extension of Wave 1’s length. However, you’ve observed that Wave 3 in this case did not reach this typical target (1.618) and is shorter than expected, meaning it’s not an "extended" wave.
Current Position - Wave 4:
The price is now in Wave 4, which is typically a corrective phase moving against the prior Wave 3 trend. This suggests a consolidation or pullback is happening before the final Wave 5 begins.
Wave 5 Projection:
Since Wave 3 was shorter than the usual 1.618 extension, Wave 5 might extend instead. In Elliott Wave rules, when Wave 3 isn’t extended, Wave 5 often takes on a more significant move. The estimated target is of 560 in a "normal case" for Wave 5, but if it extends (e.g., reaching a Fibonacci level like 1.618 or 2.618 of prior waves), the price could go even higher.
Disclaimer: This analysis is based solely on the provided observations and Elliott Wave Theory principles. It is not financial advice, nor a recommendation to buy, sell, or hold any asset. Past price patterns do not guarantee future results, and market conditions can change unpredictably. Always conduct your own research or consult a qualified financial advisor before making investment decisions.
The following is the details of the analysis:
Wave 1, 2, and 3 Completion:
Wave 1 marks the initial move after the reversal.
Wave 2 is a corrective pullback.
Wave 3 is the subsequent strong move in the trend direction. In Elliott Wave Theory, Wave 3 is often the longest and strongest, commonly reaching at least the 1.618 Fibonacci extension of Wave 1’s length. However, you’ve observed that Wave 3 in this case did not reach this typical target (1.618) and is shorter than expected, meaning it’s not an "extended" wave.
Current Position - Wave 4:
The price is now in Wave 4, which is typically a corrective phase moving against the prior Wave 3 trend. This suggests a consolidation or pullback is happening before the final Wave 5 begins.
Wave 5 Projection:
Since Wave 3 was shorter than the usual 1.618 extension, Wave 5 might extend instead. In Elliott Wave rules, when Wave 3 isn’t extended, Wave 5 often takes on a more significant move. The estimated target is of 560 in a "normal case" for Wave 5, but if it extends (e.g., reaching a Fibonacci level like 1.618 or 2.618 of prior waves), the price could go even higher.
Disclaimer: This analysis is based solely on the provided observations and Elliott Wave Theory principles. It is not financial advice, nor a recommendation to buy, sell, or hold any asset. Past price patterns do not guarantee future results, and market conditions can change unpredictably. Always conduct your own research or consult a qualified financial advisor before making investment decisions.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.