The GRASIM INDUSTRIES daily chart shows a bullish trend emerging via an impulsive Elliott Wave structure. The stock has finished its navy blue wave 2 correction and is now in navy blue wave 3, part of the larger gray wave 1 formation. This structure signals a strong upward move in a broader bullish trend on higher timeframes.

Navy blue wave 3 often represents the strongest segment of an Elliott Wave sequence, known for powerful price action and strong momentum. The completion of wave 2's correction has set up this aggressive wave 3, which typically outperforms wave 1 in size and strength. The current setup indicates a continued strong move until the next correction begins.

The next phase expected is navy blue wave 4, which will be corrective after wave 3 completes. This could offer a pullback opportunity before the bullish trend continues. A key level to watch is 2302—if price falls below this level, the current bullish count becomes invalid, and a reassessment would be needed.

On the daily chart, the current impulsive wave presents potential for notable upside. Traders should watch for classic wave 3 traits, including strong momentum and consistent price growth, while monitoring the invalidation level closely. The analysis supports a bullish stance through this phase unless clear signs of wave completion emerge.

Technical signals and price action will be key to confirming the wave structure. As the trend progresses into gray wave 1 on a higher level, the outlook for extended bullish movement strengthens. Traders are advised to observe volume and momentum indicators for confirmation.

Grasim Industries Elliott Wave technical analysis

Function: Bullish Trend.

Mode: Impulsive.

Structure: Gray wave 1.

Position: Orange wave 5.

Direction next lower degrees: Gray wave 2.

Details: Orange wave 4 appears complete; gray wave 1 of 5 is now in play.

Wave cancel invalid level: 2302.

The weekly chart of GRASIM INDUSTRIES shows a bullish trend unfolding through an impulsive Elliott Wave formation. The stock has completed its orange wave 4 correction and has now entered gray wave 1, the first sub-wave of the broader orange wave 5 movement. This structure points to the final upward leg in the current bullish trend before a potential major correction.

Gray wave 1 signals the start of this final bullish phase. It typically features strong momentum, driving prices higher as the trend approaches completion. The end of orange wave 4 sets the stage for this leg, which often brings significant upward movement before wave completion. The current pattern suggests a strong advance is likely before the next correction begins.

The expected next phase is gray wave 2, a corrective move after wave 1 ends. This pullback could provide an opportunity before the market resumes its climb into the last part of orange wave 5. The weekly timeframe offers valuable insight into the late-stage development of the bullish sequence.

A critical level to monitor is 2302. If price drops below this support level, it would invalidate the current wave count, and the bullish structure would need reassessment. This price point also marks the low of wave 4 and serves as key support.

The analysis suggests staying bullish during this impulsive wave but also preparing for volatility as the pattern matures. Traders should watch for classic wave traits, like strong momentum and consistent price growth, while respecting the invalidation level. Completion of orange wave 5 could indicate a possible trend reversal ahead.

Technical indicators and price patterns will play a key role in confirming the wave development. Traders are advised to track termination signs and look for momentum divergences as signals that the wave may be ending.

Grasim Industries Elliott Wave technical analysis [Video]

Author

Peter Mathers

TradingLounge

Peter Mathers started actively trading in 1982. He began his career at Hoei and Shoin, a Japanese futures trading company.

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