GRANULES 1HRThe combination of waves (W), (X), and (Y) suggests a Double Zigzag pattern, a common type of complex correction.
Current Situation and Potential Outlook:
* Wave (C) of (Y): The chart labels the final wave down as (C), which is consistent with an impulsive wave.
* MACD and Williams %R: The MACD is below the zero line, indicating bearish momentum. The Williams %R is at the bottom (-100), suggesting the market is oversold.
* Potential Reversal: The oversold condition on Williams %R, combined with the completion of a potential five-wave impulsive move in (Y), suggests a potential reversal or at least a corrective bounce is likely.
* Confirmation Needed: To confirm a reversal, we need to see a break above the corrective channel (if one exists) and a sustained move above the recent swing highs.
Important Considerations:
* Alternative Counts: Elliott Wave analysis is subjective, and there could be alternative valid interpretations.
* Timeframe: This analysis is based on a 1-hour chart. Longer timeframes might provide a broader perspective.
* Fundamental Analysis: Elliott Wave analysis should be used in conjunction with fundamental analysis for a more comprehensive view.
In summary, the chart suggests a completed complex correction (Double Zigzag) with a potential for a reversal or bounce.
