COAL INDIA Elliott Wave analysis [Video]

COAL INDIA Elliott Wave technical analysis

• Function: Counter-Trend.

• Mode: Corrective.

• Structure: Gray Wave B.

• Position: Orange Wave 4.

• Next lower degree direction: Gray Wave C.

• Invalidation level: 543.16.

Analysis overview:

The daily chart for COAL INDIA reflects a counter-trend setup, highlighting a corrective phase within a broader Elliott Wave structure. The key wave under observation is Gray Wave B, forming part of Orange Wave 4.

Technical analysis suggests that Gray Wave A has completed its downward move, and the stock is now progressing through Gray Wave B, a corrective wave. This pause within the downtrend signals the potential for a short-term reversal before the continuation of bearish movement into Gray Wave C.

The level of 543.16 is identified as the invalidation point—if breached, the current wave interpretation would no longer be valid.

Structural insight & strategic outlook:

The current phase (Gray Wave B) is part of a more significant Orange Wave 4 correction, indicating a mid-trend retracement. Market participants should monitor the chart for classic corrective behavior, such as three-wave formations or sideways consolidation, which commonly appear in counter-trend movements.

This setup stresses the importance of wave hierarchy and relationships. Completion of Wave B would likely lead to a decline into Wave C, aligning with the larger bearish outlook.

Trading considerations:

• Short-term opportunity: Potential for gains during corrective rebound in Wave B

• Long-term strategy: Watch for transition into Wave C for trend continuation

• Risk level: Key invalidation threshold at 543.16

COAL INDIA Elliott Wave technical analysis

• Function: Counter-Trend.

• Mode: Corrective.

• Structure: Gray Wave B.

• Position: Orange Wave 4.

• Next lower degree direction: Gray Wave C.

• Invalidation level: 543.16.

Analysis overview:

The weekly chart of COAL INDIA outlines a clear counter-trend scenario, focusing on a substantial corrective phase within the broader Elliott Wave cycle. The active structure is Gray Wave B, situated within Orange Wave 4.

Technical indicators confirm that Gray Wave A has finalized its downward leg, and the stock is now unfolding Gray Wave B, suggesting a corrective rebound. This development reflects a brief pause in the dominant bearish trend before possibly continuing downward into Gray Wave C.

The level 543.16 remains the critical invalidation point. A breach above this would call for a reassessment of the current wave configuration.

Strategic Structure & Market Perspective:
This broader timeframe allows investors to view the ongoing corrective structure in context. Gray Wave B, forming inside Orange Wave 4, is a mid-phase retracement, which could take shape as a three-wave correction or sideways consolidation.

Wave degree alignment plays a key role in this analysis. Once Wave B completes, the transition into Wave C could mark a resumption of the downtrend, offering new opportunities for bearish positioning.

Trading considerations:

• Medium-term opportunity: Capture gains during Wave B's correction.

• Long-term positioning: Prepare for possible entry with Wave C's expected continuation.

• Risk management: Monitor the invalidation level at 543.16 closely.

Analyst: Malik Awais.

COAL INDIA Elliott Wave technical analysis [Video]