CAC 40 (France) Index Elliott Wave technical analysis [Video]

by · FXStreet

CAC 40 (France) Wave technical analysis

  • Function: Bullish Trend.
  • Mode: Impulsive.
  • Structure: Gray Wave 5.
  • Position: Orange Wave 1.
  • Next lower degree direction: Orange Wave 2.
  • Wave cancelation level: 7,082.44.

Analysis details:

The CAC 40 (France) Elliott Wave Analysis on the daily chart confirms a bullish trend, with the market currently in an impulsive phase, indicating strong upward momentum.

  • The primary wave structure under focus is Gray Wave 5, which forms part of a larger wave cycle.
  • This Gray Wave 5 is positioned within Orange Wave 1, confirming its placement in the broader Elliott Wave structure.
  • The previous corrective phase (Gray Wave 4) appears completed, allowing the market to transition into Gray Wave 5 of Orange Wave 1.
  • Since Wave 5 is typically the final phase in an impulsive sequence, the market may experience further gains before a potential correction in Orange Wave 2.

A critical invalidation point has been set at 7,082.44. If the price drops below this level, the current wave structure will be invalidated, requiring traders to reassess their positions and strategies.

Trading considerations

  • Traders should monitor key price levels and anticipate potential corrections after the completion of Gray Wave 5.
  • The bullish wave structure aligns with the broader Elliott Wave pattern, supporting continued market growth.
  • Close observation of price movements and wave progressions will allow traders to make strategic decisions based on the prevailing market conditions.

CAC 40 (France) Wave technical analysis

  • Function: Bullish Trend.
  • Mode: Impulsive.
  • Structure: Orange Wave 1.
  • Position: Navy Blue Wave 3.
  • Next lower degree direction: Orange Wave 2.
  • Wave cancelation level: 7,082.44.

Analysis details:

The CAC 40 (France) Elliott Wave Analysis on the weekly chart confirms a bullish trend, with the market currently in an impulsive phase, reflecting strong upward momentum.

  • The primary wave structure under analysis is Orange Wave 1, which forms part of a larger wave cycle.
  • This Orange Wave 1 is positioned within Navy Blue Wave 3, confirming its placement in the broader Elliott Wave structure.
  • The previous corrective phase (Orange Wave 2) appears completed, allowing the market to transition into Orange Wave 1 of Wave 3.
  • Since Wave 3 typically represents the strongest phase in an impulsive sequence, further gains are expected before any significant corrections occur.

A critical invalidation point has been set at 7,082.44. If the price falls below this level, the current wave structure will be invalidated, requiring traders to reassess their positions and strategies.

Trading considerations

  • Traders should closely monitor key price levels and prepare for potential corrections after the completion of Orange Wave 1 of Wave 3.
  • The bullish wave structure aligns with the broader Elliott Wave pattern, supporting continued market growth.
  • Observing price movements and wave progressions will allow traders to make strategic decisions based on the prevailing market conditions.

Technical analyst: Malik awais.

 CAC 40 (France) Wave technical analysis [Video]

Share: Feed news