May 7, 2023

NASDAQ 100 & S&P 500 / Elliott Wave Update 5/07/2023 by Michael Filighera

Friday’s trade was once again solidly higher under the strong lack of sellers being present.  The strength of the move though has led me to review and present an alternate view.  This view suggests that the previous highs, which I marked as the completion point of Minor wave 5 and in turn Intermediate wave C and in turn Primary B waves would have only completed minute wave 1 of Minor 5.  This could be the case in both markets.  In my humble opinion there hasn’t been any changes being given by the FED to its current policies.  APPL’s earnings were fairly solid, but again in my opinion did not blow the doors off.  Friday’s employment situation report showed a strong increase in the number of new jobs created and filled.  Not necessarily a positive towards reducing the inflation rate.

Therefore, I’m continuing to look at the overall move to still be a Minor 5 wave up to complete Intermediate wave C and in turn Primary wave B.  If the alternate view is shifted to preferred status, new highs above 4250 in the ES and 14450 in the NQ are likely.

Economic data that should clarify the near term picture comes on Wednesday and Thursday via the CPI and PPI data.