CAC 40 (France) Elliott Wave Analysis Trading Lounge Day Chart
CAC 40 (France) Index Day Chart Analysis
CAC 40 (France) Elliott Wave Technical Analysis
The Elliott Wave analysis for the CAC 40 daily chart shows the market in a corrective phase, reflecting a counter-trend movement. The focus is on gray wave 2, which follows the completion of gray wave 1. With gray wave 1 finished, the market is now developing gray wave 2 within orange wave 3, signaling a short-term pullback before resuming its upward trend.
Currently, the market resides within orange wave 3, part of a larger bullish cycle. Gray wave 2, acting as a corrective phase, signals a temporary decline before moving upward into gray wave 3, the next stage in the Elliott Wave sequence.
The higher degree trend anticipates gray wave 3, implying that once the corrective gray wave 2 is complete, the market will likely resume its bullish momentum. The wave cancellation invalidation level is set at 7,031.04, meaning if the price falls below this level, the wave count becomes invalid, prompting a need to reassess the structure.
Summary: The CAC 40 daily Elliott Wave analysis indicates that gray wave 1 is complete, and gray wave 2 is unfolding within orange wave 3. This corrective phase is expected to conclude before the market resumes its upward trend toward gray wave 3. The structure remains valid unless the price drops below 7,031.04.
CAC 40 (France) Elliott Wave Analysis Trading Lounge Weekly Chart
CAC 40 (France) Elliott Wave Technical Analysis
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Function: Bullish Trend
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Mode: Impulsive
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Structure: Orange wave 3
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Position: Navy blue wave 3
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Next Lower Degrees Direction: Orange wave 4
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Details: Orange wave 2 completed; orange wave 3 of 3 in progress.
- Wave Cancel Invalidation Level: 7,031.04
The CAC 40 weekly chart's Elliott Wave analysis shows the market in a bullish trend, moving through an impulsive wave structure. The main wave under analysis is orange wave 3, which is part of a broader upward movement. The market is currently positioned within navy blue wave 3, indicating a strong upward phase.
Orange wave 2 is complete, and orange wave 3 of 3 is currently unfolding. Typically, wave 3 in an impulsive sequence represents the most substantial price movement, suggesting that the market is likely to maintain its bullish momentum during this phase.
Following the completion of orange wave 3, the next expected wave is orange wave 4, a corrective phase that will likely occur after the current upward move concludes.
The invalidation level for this wave structure is set at 7,031.04. Should the price fall below this level, the current Elliott Wave count would become invalid, necessitating a reevaluation of the wave pattern.
Technical Analyst: Malik Awais
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Conclusion:
The CAC 40 weekly Elliott Wave analysis reflects a bullish trend, with orange wave 3 in progress and orange wave 2 already completed. The market is advancing within navy blue wave 3, with a corrective orange wave 4 anticipated in the future. The wave structure remains valid as long as the price stays above 7,031.04.