February 28, 2022

NASDAQ 100 / Elliott Wave Update 2/27/2022 by Michael Filighera

Sunday’s Globex opening was a huge gap lower in all the markets — the NQ gapped lower 465 points and has managed to retrace about 125 points.  I have changed the labeling for the NQ which entails switching what was labeled as Intermediate wave A and Intermediate wave B t0 Intermediate waves 1 and 2.  I have also changed the labeling within Intermediate wave 3. Last Thursday’s lows at 13025 were labeled as the completion point for Minor wave 3 with a Minor wave 4 in progress.  The strength and height on Minor wave 4 did not break any rules but it was not “feeling” correct.  So, I have labeled the 13025 low as the completion point for Minor wave 1 of Intermediate wave 3. Friday’s high at 14196 then becomes the completion point for Minor wave 2.  This then suggests that the gap lower opening on Sunday is the beginning stages of Minor wave 3 of Intermediate wave 3 — or a “3 of 3” move.  I’ve also added Fibonacci extensions to put some parameters around the decline.  Support begins at 13715 which was smashed on the gap lower opening.  Below 13683 low next support comes in at 13418, 13355, 13178, 13089, 12937 and then the zone that would be expected to contain the Minor 3rd wave at 12841, 12760 and then 12595.  Ultimately the strong potential for Intermediate wave 3 to reach support 12188 area remains strong.  With the strong jump in volatility expect bounces to also move quick and further than expected.  Use the MA’s for guides in both directions.