Dominion Energy (D) – Elliott Wave Analysis and Trading PlanHere's a draft for a blog post on your Dominion Energy analysis:
# Dominion Energy (D) – Elliott Wave Analysis and Trading Plan
In this post, I’ll share my Elliott Wave analysis for Dominion Energy, Inc. (ticker: D), outlining a potential buy opportunity based on the structure of the wave patterns. As the energy sector evolves, Dominion Energy presents a technical setup that could provide solid upside potential.
**Chart Overview**
On the daily chart, Dominion Energy is forming what appears to be an Elliott Wave structure, providing clear entry zones and targets for a potential bullish reversal.
#**Wave Structure Breakdown**
1. **Wave (b) - Completion of Downtrend**
Dominion Energy experienced a significant decline, reaching what appears to be the completion of a corrective wave labeled as (b) on the chart. Following this wave, the price has shown signs of a bullish impulse, suggesting a possible trend reversal.
2. **Wave (c) - Establishing a Base**
The downtrend continued into wave (c), where the stock likely found a strong support level. This phase could indicate the end of the broader corrective wave, setting up the stock for a potential upward movement.
3. **Wave (i), (ii), and (iii) - Impulsive Movements**
After wave (c), we see a series of impulsive waves labeled (i), (ii), and (iii). These waves mark the early stages of a potential new bullish trend. Wave (iii) suggests strong bullish sentiment, while wave (ii) represents a healthy retracement often seen in an Elliott Wave setup.
4. **Current Setup: Wave (iv) Retracement**
As wave (iv) retraces, there’s an opportunity to buy as the price pulls back into a key support zone. I’ve identified two potential entry levels:
- **Starting Buy Level:** $57.79
- **Secondary Buy Level:** $54.89 (if the price dips further)
This yellow zone marks an ideal area to start accumulating a position, anticipating a move up in wave (v).
### **Why Buy Dominion Energy Now?**
Dominion Energy’s technical structure aligns well with the Elliott Wave framework, providing a clear risk-to-reward setup. Here’s why this trade looks promising:
- **Wave (v) Target:** If the wave count is accurate, we could see the price push significantly higher as it completes wave (v), targeting the $70–$75 range in 2025.
- **Strong Support Levels:** The identified buy zones around $57.79 and $54.89 offer strong support, limiting downside risk.
- **Energy Sector Strength:** As the global economy adapts to energy shifts, companies like Dominion Energy are positioned to benefit, especially as they invest in infrastructure and alternative energy solutions.
### **Trading Plan**
Here’s how I plan to execute this trade:
1. **Enter Initial Position:** Start buying at $57.79.
2. **Add to Position if Dips Further:** If the price moves down to $54.89, I'll add to the position.
3. **Set Target for Wave (v):** Looking for the stock to reach around $70–$75 as the final wave (v) unfolds.
### **Risk Management**
As with all trades, risk management is key. I’ll monitor price action closely and reassess if the structure invalidates the Elliott Wave count or if the price breaks below significant support levels.
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#### **Conclusion**
Dominion Energy is presenting a compelling setup based on Elliott Wave analysis, with a clear path forward for a potential bullish move. By entering at key levels, I aim to capture the upcoming wave (v) and ride the trend as the stock moves higher.
As always, this analysis is for informational purposes. Please conduct your own research or consult a financial advisor before making any trading decisions.
Happy trading! 📈
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