MCX Copper in Double Correction

 MCX Copper continuous hourly chart From the above chart, the red metal is moving in a lower high and lower low formation and it is precisely moving in a falling channel Recently the metal faced the resistance of the channel and has broken the support today which opens further negative possibilities. As per wave theory, prices are moving in double correction pattern as per the chart (a-b-c-x-a-b-c) After completing first correction, prices formed wave x close to 740 levels and now since all the important supports are broken it is very much evident that prices are poised to falter and can move below its previous low in form of wave a of second correction. The summation is prices are poised to plunge near till 680-670 levels as far as 733 is intact on the upside.

DLF Elliott Wave Analysis

DLF daily chart
As seen in the above chart, prices are moving in a higher highs and higher lows. However, it seems that the strength is fading away as prices has re-entered the in the terrain of its previous high. If this is a reversal prices will break the small channel within the big one and can test the support of the big channel.

From waves perspective, prices have completed impulse move, where wave 1 was a leading diagonal, wave 2 normal correction, wave 3 had extension within extension, wave 4 is steeper as compared to wave 2 and wave 5 marginally crossing wave 3 high. Now correction has started which can drag prices near till 310-305 levels.

The summation is DLF is expected to dip till 310-305 over short term with resistance placed at 340.


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