Elliott Wave Update – NQ – May 6, 2021
Thursday’s trade contained several moments of “violent” pushes by sellers followed by “violent pushes by buyers. Quick and to the point! I discussed yesterday the possibility for the small wave 5 decline could end in a failure and what would support that is a surge higher under larger volume and that is what happened today. I have updated the Elliott labelling and include Fibonacci levels that correspond with a 5 wave advancing structure as related to the minor wave 5 which looks to have started today. This all falls under the preferred count. The alternate count would suggest the market may rally a bit more but be held below 13720 and make the completion point for the small wave 4 correction and then turn lower again to complete the larger minor wave 4. Tomorrow’s trade should clear that up.