July 20, 2022

NASDAQ 100 / Elliott Wave Update 7/20/2022 by Michael Filighera

Wednesday’s trade was not as strong to the upside as Tuesday, but strong enough to push the NQ to resistance at today’s high at 12517.  The pattern in progress remains a Minor wave 4 countertrend bounce.  Within Minor 4, it still appears that the triangle pattern has been invalidated leaving Minor wave 4 as an A-B-C structure.  Waves A and B are complete and within wave C today’s high looks to have completed wave 3 of C – with the pull back now in progress.  This move should drop the NQ towards 12312 with potential for a drop back to the hourly 50 which is at 12234.  This move would complete wave 4 of C and leave a finishing 5 wave of C to occur.  Resistance remains at 12550 to 12675.  Once complete, expectations would be for Minor wave 5 down to begin with a move below the hourly 50 as well as a break below the hourly 200 EMA at 12004 and the 200 SMA at 11972.  Ultimately wave 5 should also break below 11500 and 11000, 10750 finding support at the 10670 area before completing the move.  Once underway I will be able to tighten the downside expectations.