Shopify (SHOP) Is Extending An Impulse From October 2022 low

Shopify Inc. is a Canadian multinational e-commerce company headquartered in Ottawa, Ontario. Shopify (SHOP) is the name of its proprietary e-commerce platform for online stores and retail point-of-sale systems. The Shopify platform offers online retailers a suite of services including payments, marketing, shipping and customer engagement tools.

SHOP Daily Chart February 2023

SHOP Daily Chart February 2023

Shopify ended a Grand Supercycle in July 2021 and we labeled it as wave ((I)). Since then, It entered in a flat correction as wave ((II)). Three swings drop ended at 128.46 as Wave (a). Then market breaks above 164.88 in another 3 swings suggesting a possible flat correction and we labeled wave (b) at 176.49. Down from this price, SHOP built a perfect impulse lower completing a big short at 23.75 and we labeled as wave (c) and also wave ((II)). Market bounced from this low and we are expecting to continue higher to reach 2021 prices again.  

SHOP Daily Chart July 2023

The impulse from October low has extended and made a nest ((1)) and ((2)) to continue wave III higher. Therefore, wave I of (I) ended at 45.09 and wave (II) pullback. Wave III extended completing at 67.55 and then a small wave IV took part retracing to 60.22. While price action remains above 60.22, we are expecting to keep moving higher to end wave V of (I). Then. the market should be rejected and turn lower in 3, 7 or 11 swings correction as wave (II) and continue the rally again. The view is valid as the market stays above 23.75.