Dominion Energy’s monthly chart shows a positive trend, suggesting a possible Elliott Wave movement. Recent observations indicate that the stock has likely completed its corrective wave ((2)), which sets the stage for a strong bullish wave ((3)). The wave count illustrates a five-wave move from the 1980s to the peak in 2007, followed by a recent WXY double three correction that ended around $45. This drop remained above the critical level of $2.28, and prices have since bounced back with growing bullish momentum. The favored Elliott Wave count signals upward movement, with long-term projections aiming above $100. Traders should consider going long, especially near the blue box areas during pullbacks. These areas are high-probability entry points for the next upward phase. This structure likely forms part of a larger wave ((3)), which is marked by strong momentum and quick price increases. If this pattern holds, the rally could last for years, offering growth for long-term investors. Dominion Energy may have finished its extended correction and could be starting a new bullish phase. The chart pattern suggests further gains, making it a stock to keep an eye on. According to the Elliott Wave structure, Dominion Energy seems to have completed a major correction and is now entering a phase of significant upward momentum. This means that any pullbacks in the coming weeks should be seen as buying opportunities, not signs of weakness. This perspective is backed by the recent Q2 2025 earnings report from late July, which exceeded expectations and provided strong guidance for the rest of the year. The technical setup is further supported by recent fundamental news, enhancing the bullish outlook. For example, Virginia’s State Corporation Commission approved an important grid modernization plan last month, which is expected to stabilize revenue for years. This has helped drive the stock up over 18% year-to-date by early August 2025. For traders looking to benefit from the anticipated upward movement, purchasing call options is a straightforward strategy. We are noticing a significant rise in open interest for September and October 2025 call options, particularly with strike prices around $60 and $65. This shows that investors are preparing for a continued rally in the near future. Alternatively, selling cash-secured puts can either generate income or allow the acquisition of the stock at a lower price. If the stock dips into one of the blue box support zones, for example, around $55, selling a put at that strike might be a smart move. This aligns with the idea that pullbacks are high-probability entry points. Looking back, we recall the stock’s lackluster performance throughout 2023 and much of 2024 as it completed the corrective phase. While the dividend offered some stability, the price movement was disappointing for many. The strong rebound in 2025 signifies a clear shift in the stock’s behavior. With projections for a multi-year rally targeting prices exceeding $100, it’s wise to consider longer-term strategies as well. Utilizing bull call spreads with longer expirations, like those for January 2026, can enable traders to participate in the upside while managing their risk. This method helps balance entry costs with the potential for considerable gains if the powerful wave ((3)) unfolds as expected.

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