Berkshire Hathaway Inc. is developing an impulse from March 2020 lows

Elliott Wave Forecast Team ElliottWave-Forecast.com

Since the crash of March 2020, all stocks have tried to recover what they lost and Berkshire Hathaway was no exception. BRK.B did not only recover the lost, but It also reached historic highs. Now, it is building an impulse from March 2020 lows with a target to $318 – $342 area. Target measured from wave ((1)) and wave ((2)) that we believe already are done. I think this target is conservative and as the weeks go by we will update a better target area.

Berkshire Hathaway Daily Chart

As we see in the daily chart, the wave ((1)) ended and the structure it is not quite common called an expanding leading diagonal. (If you want to learn more about Elliott Wave Theory, please follow this link: Elliott Wave Theory). I think it is better to manage the structure of Berkshire Hathaway in that way instead of a nest. This is because comparing some cycles has more sense with the current structures of the market.

Then we have a clear zig-zag correction as wave ((2)) and we are developing wave ((3)) in these moments. Shor Term we believe we are completing wave (3) of ((3)) and that it should send the stock much higher. It is difficult to determinate if wave 4 in red is done or not, it could continue ranging for a while until the rally comes we are going to see that in the next days.

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Elliott Wave Forecast Team

ElliottWave-Forecast.com

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