Elliott Wvae Update – NQ – May 4, 2021

Tuesday’s trade was picture perfect in that the NQ dropped in wave 3 of “c” in classic wave 3 style. Wave 3 of “c” sailed through Fibonacci support levels at 13613, 13556, 13474, and 13441 eventually finding a bottom at 13380 before bouncing higher again. It appears that the 13380 low did complete wave 3 of “c” and the recovery rally looks to have complete wave 4 of “c”. If this is the case expectations are for an additional decline as wave 5 of “c” to again take the NQ below 13380 finding support at 13335, 13269, and 13302. The expected low would then complete wave “c” and in turn the minor wave 4 correction we have been tracking off of the mid April high at 14059. This then should announce the restart of the larger intermediate wave 3 advance as minor wave 5 gets started. Near term expectations remain for minor wave 5 to return the NQ to new all time highs.