Sun Pharmaceutical Elliott Wave technical analysis [Video]

Sun Pharmaceutical Elliott Wave technical analysis 

• Function: Trend.

• Mode: Impulsive.

• Structure: Navy Blue Wave 5.

• Position: Gray Wave 3.

• Next lower degree direction: Gray Wave 4.

• Invalidation level: 1552.

Analysis summary

The Elliott Wave analysis for SUN PHARMACEUTICAL on the daily chart reveals a bullish trend, now approaching its late stage. The focus is on navy blue wave 5, which completes the broader gray wave 3 formation.

Navy blue wave 4 appears to be completed, and the stock is now in the final impulsive phase of navy blue wave 5. This movement indicates a nearing end to a strong upward trend that began with gray wave 1.

Technical outlook

A breach below 1552 would invalidate the current wave count. As long as the price holds above this level, the scenario remains bullish.

After the completion of navy blue wave 5, a corrective move into gray wave 4 is expected before possibly resuming the upward trend with gray wave 5.

Trading strategy

Traders should monitor for common fifth-wave behaviors, such as momentum divergence, which can signal a trend reversal or correction. While the wave structure still supports holding long positions, increased caution is advisable as the wave progresses.

This phase may represent one of the last opportunities to benefit from the current uptrend in SUN PHARMACEUTICAL shares.

Sun Pharmaceutical Elliott Wave technical analysis

• Function: Trend.

• Mode: Impulsive.

• Structure: Navy Blue Wave 5.

• Position: Gray Wave 3.

• Next lower degree direction: Gray Wave 4.

• Invalidation level: 1552.

Analysis summary

The weekly Elliott Wave analysis for SUN PHARMACEUTICAL presents a strong bullish outlook, signaling the final leg of a major upward trend. The analysis centers on navy blue wave 5, which is unfolding as part of the broader gray wave 3 formation.

With navy blue wave 4 completed, the stock is now moving through the last impulsive wave—navy blue wave 5. This phase may represent the closing stretch of a sustained uptrend that began with gray wave 1.

Technical outlook

The invalidation point at 1552 is critical. If breached, it would challenge the existing wave count. Until then, the current wave structure remains valid, with navy blue wave 5 pushing higher.

After this final wave concludes, a corrective move in gray wave 4 is expected. The setup indicates a potential reversal or consolidation phase may follow.

Trading strategy

As wave 5 phases often signal a trend's end, traders should monitor for warning signs like momentum divergence or fading volume. While the trend remains bullish, applying tight risk controls is advisable.

This wave presents opportunities for position traders but also suggests readiness for possible trend exhaustion.

Technical analyst: Malik Awais.

Sun Pharmaceutical Elliott Wave technical analysis [Video]