TRENT : Right Time to Catch Wave?
### 🧠 Chart Context & Wave Overview
The chart of TRENT LTD (Daily Timeframe) displays a strong Elliott Wave corrective setup , where price action seems to have completed an extended retracement (113%–127%) of the previous swing low .
This zone often marks the final leg of a correction and can lead to the start of a fresh impulsive rally — possibly Primary Wave 5 .
📊 Key Observations:
* Price is consolidating inside the Extended Retracement Zone (₹4,249–₹4,357) .
* Intermediate Wave (a-b-c) structure looks complete.
* Breakout above the long-term trendline (Wave 2–4) will confirm bullish reversal.
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### 📚 Educational Insights
💡 Extended Retracement Zone (113%–127%):
When corrections go beyond the usual 61.8%–78.6% retracement, it often represents an “overshoot flush” — a zone where weak hands exit and institutional buyers enter.
📘 Elliott Wave Psychology Recap:
Wave 4 corrections tend to be complex and deep , but they provide the last strong entry opportunity before the final impulsive move (Wave 5).
🔁 Character Change in Price Action (ChoCH):
A ChoCH above recent highs indicates the first structural shift — confirming that sellers are losing control and accumulation may be underway.
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### 🎯 Projection & Price Prediction
* 🟢 Primary Support / Entry Zone: ₹4,249 – ₹4,357
* ⚙️ Extended Retracement Base: ₹4,012 – ₹4,261
* 🔴 Stop-Loss (Closing Basis): Below ₹3,929
* 🎯 First Upside Target: ₹5,850 – ₹6,059
* 🚀 Second Target: ₹7,471
Once the structure confirms reversal above ₹4,600–₹4,750, the probability for a Wave 5 impulse toward ₹7,400+ increases substantially.
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### 💡 Trading Strategy (Educational Purpose Only)
📈 Entry Plan:
Watch for bullish reversal signals (Hammer / Bullish Engulfing / Double Bottom) in ₹4,250–₹4,350 zone.
Aggressive traders can accumulate early with SL below ₹3,929.
Conservative traders can wait for confirmation above ₹4,700.
🎯 Targets:
• Target 1 → ₹5,850 – ₹6,059
• Target 2 → ₹7,471 (Extended Wave projection)
⚖️ Risk Management:
• Risk only 1–2% per trade 💰
• Avoid aggressive averaging during corrections
• Wait for structure + volume confirmation before scaling
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### 🧩 Educational Takeaways
✅ Extended retracement zones often represent strong demand and accumulation phases.
✅ A ChoCH or structure breakout gives early reversal confirmation.
✅ Wave 5 rallies are often sharp and impulsive — rewarding patient traders.
✅ Combining Elliott Wave + Fibonacci + Price Action improves accuracy and timing.
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### 📊 Summary & Outlook
TRENT LTD is holding firm within its extended retracement base (₹4,250–₹4,350) , signaling exhaustion of sellers.
A breakout above the trendline resistance could trigger a strong Wave 5 impulse toward ₹5,850 initially and ₹7,400+ eventually.
Patience and confirmation remain key to capturing this move effectively. ⚡
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### ⚠️ Disclaimer
I am not a SEBI-registered analyst .
This analysis is purely for educational and informational purposes and should not be considered financial advice.
Please consult your financial advisor before taking any trading positions.
