In this Elliott Wave update, we examine the long-term structure in Ovintiv Inc. (OVV). The stock started an important bullish cycle from the 2020 low, initially advancing in a clear 5-wave impulsive structure. That rally was followed by a larger 7-swing correction, which eventually completed at the April 2025 low.
Since then, $OVV has started another impulsive advance. More importantly, the latest 5-wave move has taken out the 2022 high, confirming an incomplete bullish sequence. As a result, the larger structure now favors additional upside toward the $91–$130 area.
5 Wave Impulse + 7 Swing WXY correction
$OVV Started a Bullish Cycle From the 2020 Low
Looking at the weekly chart, $OVV established an important low in 2020 and began a strong advance.
The rally unfolded through five waves, confirming that the move from the 2020 low was impulsive rather than corrective. Waves (1) through (5) eventually carried the stock into the 2022 high and completed wave ((1)).
Once five waves finished, a larger correction against the 2020 low became due.
7-Swing Correction Ended in April 2025
Following the 2022 peak, $OVV entered a prolonged corrective phase. Rather than unfolding as a simple three-wave decline, the structure developed in 7 swings as a complex W-X-Y correction.
Wave (W) produced the first corrective leg lower. A recovery in wave (X) followed before another decline in wave (Y) completed the structure.
Most importantly, the correction reached its conclusion at the April 2025 low, completing wave ((2)).
This maintained the larger bullish sequence from 2020 and created the foundation for the next major advance.
New 5-Wave Impulse Confirms Bullish Momentum
From the April 2025 low, $OVV turned sharply higher and started another impulsive structure.
The rally has developed in five waves, with waves 1 through 5 carrying the stock back toward and eventually above the 2022 high.
Breaking that previous cycle high represents an important technical development. It confirms that the advance from April 2025 is not simply a corrective rebound. Instead, the price action supports the idea that a new bullish cycle is already underway.
Break Above 2022 High Creates an Incomplete Bullish Sequence
The move above the 2022 high creates an incomplete bullish sequence from the 2020 low.
In Elliott Wave terms, once the prior high is exceeded within an impulsive structure, the market usually requires additional upside to complete the larger-degree sequence.
Therefore, although short-term corrections should continue to occur, the larger path now favors higher prices.
The current five-wave advance can complete wave (1) before a wave (2) pullback develops. Once that correction finishes, another stronger impulsive leg should follow.
$91–$130 Becomes the Next Major Target
With the 2022 high now taken out, the next important upside area comes between $91 and $130.
This region represents the next major target for the developing bullish sequence. The move does not need to happen in a straight line. Several smaller-degree rallies and pullbacks should unfold along the way.
However, those corrections should remain supported while the larger structure stays bullish.
As a result, the preferred path calls for $OVV to continue working higher toward the $91–$130 area as the next stages of the impulsive sequence develop.
Pullbacks Should Remain Supported
The weekly chart suggests that the current advance is approaching the completion of another smaller-degree wave (1). Therefore, a wave (2) correction can occur before the next extension higher.
Such a pullback would be normal within the larger bullish structure.
Rather than signaling the end of the rally, a corrective decline should provide another reset before buyers return and the next impulsive wave begins.
For that reason, we do not favor selling against the larger bullish sequence.
Bigger Picture Remains Bullish
The structure from the 2020 low remains constructive.
First, $OVV completed five waves higher from 2020. Second, the subsequent decline unfolded in 7 corrective swings into April 2025. Finally, the rally from that low has developed impulsively and has now exceeded the important 2022 peak.
Together, these developments support an incomplete bullish sequence and favor additional upside over the coming quarters.
The broader bullish outlook remains valid above the 29.80 invalidation level.
Technical Summary
To summarize, $OVV started a bullish cycle from the 2020 low with five waves higher, followed by a 7-swing W-X-Y correction that ended in April 2025.
Since that low, another 5-wave impulsive advance has developed and has now taken out the 2022 high.
That breakout confirms an incomplete bullish sequence and opens the next stage of the advance. While short-term corrections should occur along the way, the larger Elliott Wave structure continues to favor higher prices.
As long as the broader bullish structure remains intact, $OVV can continue toward the $91–$130 area over the coming quarters.
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