Vodafone Idea has been on a downward trajectory for almost a decade. Based on the Elliot waves theory, it appears that the stock has completed a significant bear cycle in a ZIG ZAG pattern as shown on the chart. The stock seems to be forming a base with accumulation taking place. Recently, it has exceeded the swing high of 2021 and closed strongly on the monthly timeframe. This breakout could mark the end of wave 1 and the start of new inputs. Moreover, the stock has been experiencing high volume for a while now. Furthermore, after dropping from the swing high, the stock found support at 61.8 (which normally marks the end of wave 2) and saw a robust rebound. So if the above analysis holds true, we are in wave 3 now
In terms of trading strategy, we could consider adding 30-40% of our position at current levels and increasing it on pullbacks as we identify more bullish signals. The wave count, stop loss, and target levels are all clearly marked on the chart
Disclaimer: Please note that the information presented in this analysis is intended for educational purposes only. It is highly recommended to seek advice from a financial advisor before making any investment decisions. I cannot be held accountable for any financial losses that may arise
In terms of trading strategy, we could consider adding 30-40% of our position at current levels and increasing it on pullbacks as we identify more bullish signals. The wave count, stop loss, and target levels are all clearly marked on the chart
Disclaimer: Please note that the information presented in this analysis is intended for educational purposes only. It is highly recommended to seek advice from a financial advisor before making any investment decisions. I cannot be held accountable for any financial losses that may arise