Hang Seng index Elliott Wave technical analysis [Video]

Hang Seng Index Elliott Wave Analysis – Trading Lounge Day Chart.

Hang Seng Index Elliott Wave technical analysis

• Function: Counter Trend.

• Mode: Corrective.

• Structure: Orange Wave 2.

• Position: Navy Blue Wave 3.

• Direction Next Higher Degree: Orange Wave 3.

• Details: Orange Wave 1 appears completed, and Orange Wave 2 is currently in play.

• Invalidation Level: 18,672.39.

Analysis overview

The Hang Seng Index daily chart analysis indicates a counter-trend movement within a corrective wave structure. The market is currently progressing through Orange Wave 2, following the completion of Orange Wave 1. This suggests that the index is undergoing a retracement phase before potentially resuming its broader trend.

The position within Navy Blue Wave 3 highlights the ongoing corrective nature of the market. The next expected higher-degree wave is Orange Wave 3, which is anticipated to begin after the completion of the current retracement in Orange Wave 2. This wave structure indicates that the market is experiencing a temporary pullback before a potential shift in momentum.

The invalidation level is set at 18,672.39, acting as a crucial reference point. If the price moves beyond this level, the current wave count would be invalidated, requiring a reassessment of the market structure.

Conclusion

The Hang Seng Index is currently in a corrective phase, with Orange Wave 2 unfolding after the completion of Orange Wave 1. The market remains in a retracement stage before transitioning into Orange Wave 3. Traders should closely monitor key price levels to evaluate the potential continuation or reversal of the trend.

Hang Seng Index Elliott Wave Analysis – Trading Lounge Weekly Chart

Hang Seng Index Elliott Wave technical analysis

• Function: Counter Trend.

• Mode: Corrective.

• Structure: Orange Wave 2.

• Position: Navy Blue Wave 3.

• Direction Next Higher Degree: Orange Wave 3.

• Details: Orange Wave 1 appears completed, and Orange Wave 2 is currently in play.

• Invalidation Level: 18,672.39.

Analysis overview

The Hang Seng Index weekly chart analysis indicates a counter-trend movement within a corrective wave structure. The market is currently progressing through Orange Wave 2, following the completion of Orange Wave 1. This suggests that the index is in a retracement phase before potentially resuming its broader trend.

The position within Navy Blue Wave 3 highlights the corrective nature of the market. The next expected higher-degree wave is Orange Wave 3, which is anticipated to begin after the completion of the current retracement in Orange Wave 2. This structure suggests that the market is experiencing a temporary pullback before a potential shift in momentum.

The invalidation level is set at 18,672.39, acting as a crucial reference point. If the price moves beyond this level, the current wave count would be invalidated, requiring a reassessment of the market structure.

Conclusion

The Hang Seng Index remains in a corrective phase, with Orange Wave 2 unfolding after the completion of Orange Wave 1. The market is currently in a retracement stage before transitioning into Orange Wave 3. Traders should carefully monitor key price levels to evaluate the potential continuation or reversal of the trend.

Technical analyst: Malik Awais.

Hang Seng Index Elliott Wave technical analysis [Video]