November 8, 2022

NASDAQ 100 & S&P 500 / Elliott Wave Update 11/08/2022 by Michael Filighera

Tuesday’s trade was sketchy at the start then a bit parabolic in the ES and the NQ.  The moves themselves appear to be the last of the minute C wave to complete Minor wave 2.  The reject off the highs was somewhat convincing, expect for the lack of sellers during the last hour.  However, I have updated the labeling and discuss Fib levels still applicable.

I discuss the larger picture and check out a few charts within the “car sales” category – such as VRM, CARG, LYFT, where the stock prices have been gutted from post IPO levels that were unsustainably too high with 80%+++ losses easy to find.  This in MHO puts additional pressure on the larger titans, GOOGL, AAPL, MSFT, META, ADBE, TSLA, AMD, INTC – and the likes to hold up the index and propel it higher.  Cracks in the armor are beginning to show and get forgotten quickly.

For Wednesday, with the lack of economic data being released the markets may do the same thing as today.  I’m allowing for an additional push above today’s highs and looking for the sellers to be present if the downside is to pick up.  If the next wave down is ready to kick in – the ES and NQ will drop and drop quickly with purpose!  If we end up seeing a sideways move develop, we can still look for a break in either direction — and either can occur.

Things may be on the quiet side until Thursday’s release of the CPI data.