S&P/ASX 200 Elliott Wave technical analysis
Function: Trend.
Mode: Impulsive.
Structure: Orange wave 3.
Position: Navy blue wave 3.
Direction next lower degrees: Orange wave 4.
Details: Orange wave 2 appears to be completed. Now, orange wave 3 of navy blue wave 3 is in play. Wave Cancel invalid level: 7,625.9
The S&P/ASX 200 is currently experiencing a strong trend according to the Elliott Wave analysis on the daily chart. The market is moving in an impulsive mode, indicating a clear and decisive upward trajectory. The primary wave structure being observed is orange wave 3, a critical phase in the Elliott Wave sequence, often associated with significant momentum and price movement.
The market's current position lies within navy blue wave 3, which is part of the larger orange wave 3 structure. This suggests that the market is in the midst of a powerful upward trend, as wave 3 in Elliott Wave theory is typically one of the most extended and forceful waves, driving the market higher. The completion of orange wave 2 indicates that the market has finished its corrective phase and has now entered the next impulsive phase, specifically orange wave 3.
As orange wave 3 of navy blue wave 3 is now unfolding, the market is expected to maintain its upward momentum. This wave is crucial as it often represents the strongest part of the trend, leading to further gains in the market. The analysis also indicates that the direction of the next lower degrees aligns with the ongoing movement of orange wave 3, further reinforcing the expectation of continued upward momentum.
A critical level to watch is 7,625.9, identified as the wave cancel invalid level. If the market were to drop below this level, it would invalidate the current wave count, suggesting that the anticipated wave structure is no longer applicable. This level serves as an important indicator to confirm the validity of the ongoing Elliott Wave analysis.
In summary, the S&P/ASX 200 is in a strong upward trend, with orange wave 3 progressing within the broader navy blue wave 3 structure. The completion of orange wave 2 signals further upward movement, with 7,625.9 as a key level to monitor for the continuation of this wave structure.
S&P/ASX 200 Elliott Wave technical analysis
Function: Trend.
Mode: Impulsive.
Strucutre: Orange wave 3.
Position: Navy blue wave 3.
Direction next lower degrees: Orange wave 4.
Details: Orange wave 2 appears to be completed. Now, orange wave 3 of navy blue wave 3 is in play. Wave Cancel invalid level: 7,625.9
The S&P/ASX 200 is currently in a strong upward trend according to the Elliott Wave analysis on the weekly chart. The analysis suggests that the market is in an impulsive mode, indicating a decisively bullish movement with strong momentum driving prices higher. The key wave structure being observed is orange wave 3, a critical phase in the Elliott Wave sequence, often characterized by significant and sustained upward price movements.
At present, the market is positioned within navy blue wave 3, which is part of the larger orange wave 3. This indicates that the market is in a particularly strong phase of its upward trend, as wave 3s are often the most powerful and extended waves within the Elliott Wave structure. The analysis indicates that orange wave 2 has been completed, implying that any previous corrective or downward movement has likely ended, and the market has now resumed its upward trend with the initiation of orange wave 3 within navy blue wave 3.
The direction of the next lower degrees aligns with the ongoing orange wave 3, suggesting that the bullish momentum is expected to continue. This phase typically involves strong and sustained price increases as the trend gains momentum and investor confidence builds.
A critical level to monitor is 7,625.9, identified as the wave cancel invalid level. If the market were to fall below this level, it would suggest that the current wave count and anticipated trend might be invalidated, signaling a potential shift in the market's direction. This level serves as an important reference point for confirming the ongoing bullish trend.
In summary, the S&P/ASX 200 is experiencing a strong upward trend, with orange wave 3 currently active within the broader navy blue wave 3. The completion of orange wave 2 indicates that the market is in a phase of robust upward movement, with 7,625.9 being a key level to watch for the continuation of this trend.
S&P/ASX 200 Index Elliott Wave technical analysis [Video]
As with any investment opportunity there is a risk of making losses on investments that Trading Lounge expresses opinions on.
Historical results are no guarantee of future returns. Some investments are inherently riskier than others. At worst, you could lose your entire investment. TradingLounge™ uses a range of technical analysis tools, software and basic fundamental analysis as well as economic forecasts aimed at minimizing the potential for loss.
The advice we provide through our TradingLounge™ websites and our TradingLounge™ Membership has been prepared without considering your objectives, financial situation or needs. Reliance on such advice, information or data is at your own risk. The decision to trade and the method of trading is for you alone to decide. This information is of a general nature only, so you should, before acting upon any of the information or advice provided by us, consider the appropriateness of the advice considering your own objectives, financial situation or needs. Therefore, you should consult your financial advisor or accountant to determine whether trading in securities and derivatives products is appropriate for you considering your financial circumstances.
Recommended content
Editors’ Picks
EUR/USD holds gains above 1.1100 as USD weakens ahead of Powell
![EUR/USD holds gains above 1.1100 as USD weakens ahead of Powell](https://editorial.fxstreet.com/images/Markets/Currencies/Majors/EURUSD/money-13797882_XtraSmall.jpg)
EUR/USD is consolidating weekly gains above 1.1100 in European trading on Friday. The pair draws support from the renewed US Dollar selling but the upside could be capped by the dovish ECB-speak. The focus now remains on Fed Chair Powell's speech in Jackson Hole.
GBP/USD stays firm above 1.3100, Fed/ BoE speakers eyed
![GBP/USD stays firm above 1.3100, Fed/ BoE speakers eyed](https://editorial.fxstreet.com/images/Markets/Currencies/Majors/GBPUSD/iStock-170160529_XtraSmall.jpg)
GBP/USD is trading with mild gains above 1.3100 in the European session on Friday. Dovish Fed expectations continue to sag the US Dollar, as traders shift their focus to the speeches by Fed Chair Powell and BoE Governor Bailey at the Jackson Hole Symposium.
Gold bounces off support ahead of Powell’s Jackson Hole speech
![Gold bounces off support ahead of Powell’s Jackson Hole speech](https://editorial.fxstreet.com/images/Markets/Commodities/Metals/Gold/stacks-of-gold-bars-19033163_XtraSmall.jpg)
Gold finds support from former range highs and bounces ahead of speech from Fed Chairman Jerome Powell. The speech could solar the outlook for Fed policy on interest rates, a key driver for Gold.
Decentraland price is set for a rally after breaking above the descending trendline
![Decentraland price is set for a rally after breaking above the descending trendline](https://editorial.fxstreet.com/images/Markets/Currencies/Cryptocurrencies/Decentraland/Decentraland_XtraSmall.png)
Decentraland (MANA) price broke above the descending trendline and trades up 1.5% as of Friday at $0.291. Additionally, on-chain data support further price gains, as MANA's Exchange Flow Balance shows a negative spike, and the long-to-short ratio stays above one.
Jerome Powell expected to hint at upcoming interest-rate cut in September
![Jerome Powell expected to hint at upcoming interest-rate cut in September](https://editorial.fxstreet.com/images/Resources/Discover/Discover_18_28_XtraSmall.png)
Market participants will closely scrutinize Powell’s speech for any fresh hints on the trajectory of monetary policy, particularly about the magnitude of the Fed’s first interest-rate cut in years.
Moneta Markets review 2024: All you need to know
![Moneta Markets review 2024: All you need to know](https://editorial.fxstreet.com/images/IT/Testing/Review/FXSBadgeCertifiedBackg_XtraSmall.png)
VERIFIED In this review, the FXStreet team provides an independent and thorough analysis based on direct testing and real experiences with Moneta Markets – an excellent broker for novice to intermediate forex traders who want to broaden their knowledge base.