October 18, 2022

NASDAQ 100 & S&P 500 / Elliott Wave Update 10/18/2022 by Michael Filighera

Tuesday’s trade followed through to the upside as expected.  The NQ reached just at resistance at 11413 with the S&P reaching 3777. which was about 3o points from resistance at 3804.  The reversals off the morning highs was strong and abrupt giving the impression that the completion points for the Intermediate 4th waves may have been in.  But not in today’s markets — the volatility remains strong the moves remain wild and woolly and we are in “earnings season” — that being said the markets remain on the intense side — but to be honest that is what we want — we want the movement, the swings, the ups and downs and the participation that we are getting is huge.

I discuss the current positions for the ES and NQ against what may be on the palate for tomorrow.  I review the Fibonacci resistance for any remaining “C” wave up left to do — I discuss what I would expect should Intermediate wave 4 be complete in the ES and NQ.

We remain in earning season and that always promises surprises and catching traders off guard.  Case in point Netflix today — the market traded higher for most of the day — but saw some selling and actually closed down on the session.  The earnings came out and the market quickly rallied $30.  Tomorrow, we have Tesla, another volatile stock that can turn on a tick and run in either direction.  Much can happen.  I encourage us all to remain on focused and open to what the market will be telling us.