The Big Picture
Trent Limited has been working through a major downward trend since its Wave B peak at 6,261.00. Looking closely at the daily chart, this corrective drop moved within a highly reliable descending parallel channel, finally hitting a major bottom (Wave C) at 3,275.50.
The Current Setup
With the bottom established, a new bullish cycle appears to be underway:
Technical Confluences
What makes this setup stand out is how multiple indicators align at the same spot:
The Trade Plan
We are now anticipating the launch of Wave (C/3), which is historically the most explosive and profitable wave in an Elliott Wave cycle.
Note: Watch the 4,488.00 horizontal resistance closely. A strong daily breakout above it will confirm that the next major leg up is officially active!
Disclaimer: This analysis is for educational purposes only and does not constitute investment advice. Please do your own research before making any trading decisions.
Trent Limited has been working through a major downward trend since its Wave B peak at 6,261.00. Looking closely at the daily chart, this corrective drop moved within a highly reliable descending parallel channel, finally hitting a major bottom (Wave C) at 3,275.50.
The Current Setup
With the bottom established, a new bullish cycle appears to be underway:
- Wave (A/1) Impulse: A sharp, aggressive rally off the low took the price up to test the major horizontal resistance line at 4,488.00.
- Wave (B/2) Pullback: Instead of a deep sell-off, the stock staged a shallow, healthy correction that held perfectly at the 0.382 Fibonacci level. Finding support this high up shows strong underlying demand.
Technical Confluences
What makes this setup stand out is how multiple indicators align at the same spot:
- 20-DMA Bounce: The price found exact dynamic support and bounced cleanly off the 20-day Moving Average line.
- RSI Momentum: The RSI indicator successfully held its ground and is turning back upward from the ~50 level, signaling that the bulls are reclaiming control.
The Trade Plan
We are now anticipating the launch of Wave (C/3), which is historically the most explosive and profitable wave in an Elliott Wave cycle.
- Target Zone: 5,203.10 to 5,958.60 (derived from the standard 1.0 to 1.618 Fibonacci extensions).
- Stop Loss: 3,980.60 (placed safely right below the Wave B/2 low).
Note: Watch the 4,488.00 horizontal resistance closely. A strong daily breakout above it will confirm that the next major leg up is officially active!
Disclaimer: This analysis is for educational purposes only and does not constitute investment advice. Please do your own research before making any trading decisions.
WaveXplorer | Elliott Wave insights
📊 X profile: @veerappa89
📊 X profile: @veerappa89
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
WaveXplorer | Elliott Wave insights
📊 X profile: @veerappa89
📊 X profile: @veerappa89
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.