December 27, 2022

NASDAQ 100 & S&P 500 / Elliott Wave Update 12/27/2022 by Michael Filighera

Tuesday’s trade did not materialize to the upside except in the Dow.  The ES and the NQ both headed lower from the opening and didn’t attempt a more solid rally attempt primarily due to the heavy selling over in TSLA.  I added a view to TSLA taking a look at the longer term charts and putting some Fibonacci retracements and extensions to give some parameters against the current drive lower.

For tomorrow, in the NQ I have adjusted the EW labeling back to the preferred count – this suggests that both Minor wave 1 and 2 are complete with the NQ now dropping at the start of minute wave 3 of Minor 3 of Intermediate 3.  The steepest segment of the Minor 3rd.  Thus far it appears to be stopping at last Thursday’s low.  If the labeling is correct Thursday’s low should crack and crumble as the NQ drops.  Upside remains possible, but likely will be limited by any continued selling in TSLA or AAPL.

The ES has stronger potential for continuing to catch an updraft with a move back towards 3900 still in the air.  For that to completely become null and void the ES would need to break below 3800 to 3770.  Should that occur it would give stronger confirmation to the ES being complete with its Minor 2nd wave.