Brief time period Elliott Wave view in Nikkei suggests the decline from 3/29/2022 peak is unfolding as a zigzag Elliott Wave construction. A Zigzag is a corrective construction labelled as ABC with 5-3-5 subdivision. Down from 3/29/2022 peak, wave A ended at 25555 and rally in wave B ended at 28401. Wave C decrease is in progress as a 5 waves impulse. Down from wave B, wave (i) ended at 26195 and rally in wave (ii) ended at 26960. Index then resumes decrease in wave (iii) in the direction of 25615, wave (iv) ended at 26235 and closing wave (v) ended at 25525. This accomplished wave ((i)) of C. Wave ((ii)) of C is now in progress to appropriate cycle from 6/9/2022 excessive earlier than the decline resumes.
Inside subdivision of wave ((ii)) is unfolding as a zigzag construction in lesser diploma. Up from wave ((i)), wave (a) ended at 26555 and dips in wave (b) ended at 26005. Wave (c) greater is in progress to finish wave ((ii)) earlier than the decline resumes. Potential goal for wave ((ii)) is 100% – 161.8% fibonacci extension of wave (a) which comes at 27040 – 27675 space. Index ought to then resume decrease or pullback in 3 waves at the very least. Close to time period, so far as pivot at 28401 excessive stays intact, count on rally to fail in 3, 7, or 11 swing for additional draw back.
Nikkei 60 Minutes Elliott Wave Chart