DELL’s Elliott Wave structure suggests the completion of a corrective wave IV, with a bullish continuation in progress.
The larger timeframe chart reinforces the bullish outlook for Dell Technologies Inc. (DELL). It shows a long-term uptrend, with the stock completing a major wave II correction in 2022 before resuming its advance. Wave III peaked, followed by a wave IV correction that bottomed near 88.49. This level has acted as strong support, aligning with the smaller timeframe analysis. As long as price remains above this level, wave (3) of a new bullish cycle is expected to unfold, targeting new highs in the coming months.
Daily Elliott Wave Counts:
The decline labeled as wave IV unfolded in a three-wave corrective structure, marked as (A)-(B)-(C). This pattern signifies the completion of a necessary correction within the broader uptrend. The recent price action shows a strong recovery from the lows, with the formation of an initial impulse labeled as wave (1). This suggests that the stock has resumed its primary bullish trend. Following this, wave (2) formed a corrective pullback, which has likely concluded. As long as price action remains above the invalidation level, the market is expected to move higher in wave (3).
4-Hour Elliott Wave Counts:
The outlook remains bullish, with wave (3) expected to be the strongest phase. This wave often sees increased momentum, making it attractive for traders. However, proper risk management is essential. The chart also includes a warning, “We Do Not Recommend Selling,” reinforcing the bullish stance. Shorting the stock may not be advisable at this stage.
Overall, Dell’s technical setup favors more gains. A confirmed breakout in wave (3) would strengthen the bullish case. However, a drop below 88.49 would require a reassessment of the wave count. As long as support holds, the stock should continue higher in the coming months.