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Arm Holdings plc (ARM), a public player with a deep innovation track record, leads in energy-efficient, high-performance processor design. It powers billions of devices and serves as an anchor throughout the AI and mobile computing surge. The company’s scalable licensing model ensures recurring revenue across diverse sectors. Its robust ecosystem fosters long-term client relationships, securing the company's future in tech.

As its stock has recently been trading above key moving averages with bullish breakouts and strong volume, Arm Holdings plc has signaled continued institutional interest and market trend strength. Following the strong rally in Arm Holdings, we’re updating the charts to reflect its bullish momentum and technical structure.

Arm Holdings plc Daily Chart for July 2025

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As shown in the daily chart, Arm Holdings sparked a strong impulsive rally, as it completed wave (I) at the high of 188.75. Then, it entered a flat correction as wave (II) pulled back into the 90.78-68.99 area — a high-probability reversal zone. The correction ended at the 80.00 low, which ignited a sharp bullish reaction. That move initiated wave ((1)), which is still in the process of unfolding.

Currently, the structure is trading in wave 4 of (3). After wave ((1)) is completed, a pullback in wave ((2)) should follow. The next leg of the structure will likely develop in 3, 7, or 11 swings. Once complete, the broader bullish trend is expected to resume. Traders should watch the pullback for long setups.

Arm Holdings plc Alternative Daily Chart for July 2025

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Although the bounce seen within the blue box area supports a bullish scenario, an alternate view may suggest that wave (II) could still be incomplete. In such a scenario, the 80.00 low could be seen as part of wave W's double correction. The current advance could form a zig-zag pattern in wave X, and it would likely need one more high to complete the pattern. 

If this occurs, wave Y could drive the price below the 80.00 mark to complete wave (II). Such a move could offer a buying opportunity. A break above the 188.75 mark would invalidate this view and confirm the bullish continuation. Until then, it would be wise to stay flexible and track the stock's structure in real time.

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