How to interpret our Technical Analysis

This is a standing reference point that outlines the analytical framework, chart conventions, and reader guidance applicable across all markets covered in our Technical Analysis. Readers are encouraged to consult this guide alongside each analysis.

Analysis is provided across two primary timeframes, each suited to a different participant horizon:

Tactical reports are based on daily candlestick charts and are oriented toward participants managing positions over days to several weeks. This timeframe is appropriate for swing traders, active hedgers, and those seeking to time entries and exits within an established directional view.

Strategic reports are based on weekly and monthly candlestick charts and address the multi-month to multi-year price outlook. This timeframe is most relevant for producers, portfolio hedgers, and longer-term oriented investors. Those less focused on tactical execution should concentrate primarily on this timeframe.

•       Coloured zones — Shaded boxes denote areas of anticipated price reaction and are intended as zones for risk management and position sizing decisions. A green box identifies a downside target (support / buy zone); a red box identifies an upside target (resistance / sell zone). These zones should be treated as high probability inflection areas.

•       Price targets — While Elliott Wave Theory (EWT) offers considerable precision in projecting price objectives, targets are best understood as areas rather than fixed levels. Annotations are placed at the ideal target within that area, generally at a significant Fibonacci level or — more reliably — a confluence of multiple Fibonacci levels across different timeframes.

•       Time axis — price road map only — Elliott Wave counts are projected forward on the chart as a visual road map of the suggested price path, based on common Fibonacci price relationships between waves. The position of a target along the horizontal time axis does not constitute a forecast of when that target will be reached. EWT does not assume to forecast the duration of a move. The time projection is provided solely to aid visualisation of the standard wave structure and should not be used to infer timing. Price is the axis that carries analytical weight.

•       Invalidation levels — A strength of EWT is it’s clearly defined level at which the primary thesis is negated. EWT provides efficient invalidation points, enabling disciplined stop-loss calibration and allowing calculation of Risk to Reward (R:R). Commentary will typically express this as: “As long as price holds below [level], bias remains to the downside targeting [level].” The corresponding stop is set marginally beyond that reference.

•       Alternative scenarios — Where relevant, an alternative (‘alt’) wave count is provided as a contingency to the primary base case. When the base case is invalidated — confirmed by a breach of the designated stop level — the alternative count assumes primacy. Alt scenarios are provided on an occasional basis at the analyst’s discretion and are not a standard feature of every report.

DISCLAIMER

This document is prepared by FEWanalytics for distribution through GSX Commodities and is intended solely for the use of institutional and professional market participants. It does not constitute financial advice, an offer to buy or sell, or a solicitation in any jurisdiction. Past analytical performance is not indicative of future results. All views expressed are those of FEWanalytics and do not represent the views of GSX Commodities or any affiliated entity. Commodity markets carry significant risk; recipients should conduct their own due diligence and consult appropriate advisors before acting on any analysis herein.