Our Elliott Wave analysis today provides an update on the Australian Stock Exchange (ASX) focusing on INSURANCE AUSTRALIA GROUP LIMITED (IAG).

We observe that ASX:IAG shares remain in a corrective wave, requiring a further push lower before a potential upward movement.

ASX: INSURANCE AUSTRALIA GROUP LIMITED (IAG) Elliott Wave Technical Analysis

1D Chart (Semilog Scale) Analysis

• Function: Major trend (Primary degree, navy)
• Mode: Motive
• Structure: Impulse
• Position: Wave ((4)) - navy

Details:

• Wave ((3)) - navy recently concluded as a five-wave sequence, labeled from (1) - orange to (5) - orange.
• Wave ((4)) - navy is likely moving lower, targeting 6.78 USD.
• A long-term bullish move is not anticipated for Wave (5) - orange. Instead, the market appears to have completed the first leg of an ABC Zigzag within Wave ((4)) - navy.
• Invalidation Point: The end of Wave ((3)) - navy

ASX: INSURANCE AUSTRALIA GROUP LIMITED (IAG) Elliott Wave Technical Analysis – TradingLounge (4-Hour Chart)

4-Hour Chart Analysis

• Function: Major trend (Minute degree, navy)
• Mode: Motive
• Structure: Impulse
• Position: Wave (B) - orange of Wave ((4)) - navy

Details:

• The Wave ((4)) - navy structure continues to unfold, pushing lower.
• It is developing as a (A)-(B)-(C) - orange formation.
• The (B) - orange wave is nearly complete and is expected to lead to a downward move with (C) - orange.
• Invalidation Point: 15.06 USD
• Key Point: The end of Wave ((3)) - navy

Conclusion

Our analysis provides contextual trends and short-term market forecasts for ASX: INSURANCE AUSTRALIA GROUP LIMITED (IAG), helping traders capitalize on market movements effectively.

We identify key price points that serve as validation or invalidation markers for our wave count, increasing confidence in our outlook. By integrating these elements, we aim to deliver an objective and professional perspective on market trends.

Technical Analyst: Hua (Shane) Cuong, CEWA-M (Master’s Designation)

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