Wednesday’s trade was productive in terms of advancing the current Elliott count. The NQ continues to trace out the minute wave 3 of Minor C. Within minute 3 the NQ now looks to have completed wave 1 of 3 at the globex low at 15050, with the rally to this morning’s high at 15368 being the completion point for wave 2 of 3. If this is the case, the NQ would be in the strongest section of the decline, a “3 of 3” move. Expectations for tomorrow would be for the decline to continue. Support at the Daily 200 MA at 14958 is likely to succumb to the sell pressure and the NQ heads towards Fibonacci support at 14964 and 14825. This zone may again only provide a pause in the decline with expectations for the support zone at 14501 to 14410 being the more likely level to complete wave 3 of “C”.
January 19, 2022