<\/p>\n
Function:<\/strong>\u00a0Trend.<\/p>\n Mode:<\/strong>\u00a0Impulsive.<\/p>\n Structure:<\/strong>\u00a0Orange Wave 3.<\/p>\n Position:<\/strong>\u00a0Navy Blue Wave 3.<\/p>\n Next higher degree direction:<\/strong>\u00a0Orange Wave 3 (Ongoing).<\/p>\n Details:<\/strong>\u00a0Orange wave 2 appears complete; orange wave 3 of 3 has started.<\/p>\n The daily chart<\/a> for the Shanghai Composite Index highlights strong bullish momentum within a defined uptrend. The current wave structure shows orange wave 3 advancing inside a larger navy blue wave 3. This suggests that the market has finished its orange wave 2 correction and is now entering a typically forceful phase of the Elliott Wave<\/a> impulse.<\/p>\n With orange wave 2 concluded, orange wave 3 has taken over, reflecting notable upward momentum. This phase shows significant buying strength and aligns with the classic \u201cwave of recognition\u201d concept, where the trend becomes evident to a larger number of market participants. This suggests a possible strong extension before any pullback.<\/p>\n The wave structure provides valuable insights for investors to gauge the broader cycle. The potential for further upward moves is high in this wave 3, though a correction will follow. Traders should watch for continued strength but remain cautious for signs of wave completion and the next retracement.<\/p>\n Function:<\/strong>\u00a0Trend.<\/p>\n Mode:<\/strong>\u00a0Impulsive.<\/p>\n Structure:<\/strong>\u00a0Orange Wave 3.<\/p>\n Position:<\/strong>\u00a0Navy Blue Wave 3.<\/p>\n Next lower degree direction:<\/strong>\u00a0Orange Wave 4.<\/p>\n Details:<\/strong>\u00a0Orange wave 2 appears complete; orange wave 3 of 3 is currently active.<\/p>\n The weekly chart of the Shanghai Composite presents a strong bullish picture, supported by impulsive wave characteristics. Orange wave 3 is advancing as part of a broader navy blue wave 3, indicating a completed orange wave 2 and the start of an aggressive bullish cycle.<\/p>\n Wave 3’s impulsive nature reveals strong buying activity, likely from institutional investors. This aligns with a prolonged bullish phase, often the most rewarding part of the wave structure. Orange wave 3 currently appears to be the dominant upward move within the ongoing trend.<\/p>\nShanghai Composite technical analysis \u2013 Weekly timeframe<\/h3>\n