Elliott Wave Update – NQ – April 27, 2021
Tuesday’s trade did provide additional information that adds strength to both the preferred and alternate counts. After reaching an additional high at 14050 during the Globex session, the NQ began to head lower and dropping back over 100 points. The preferred count would suggest that the minute “b” wave completed at 14050 with the ensuing decline being the start of a minute “c” wave to complete the minor wave 4 correction. The alternate view also remains very active in the high at 14050 may have completed minute wave 1 of minor wave 5 with a minute wave 2 correction unfolding. So here is what will tilt the scales in favor of the alternate view – should the market hold above today’s low at 13912 and rally back above 14008 it would suggest the low at 13912 completed the minute wave 2 with a minute 3rd wave in progress. If, though, the market puts in an additional low below 13912 (support at 13872 to 13880) it would suggest that wave 1 of minute wave “c” down is complete with a small wave 2 bounce then expected. Tomorrow’s trade should clear up the picture.