The current Elliott Wave analysis of Nasdaq Futures (NQ) indicates that there has been a rally from the low on 4.19.2024, which is progressing as an impulse wave. This means that there is a series of five waves moving in the direction of the overall trend.
Breaking down the wave counts further, we see that wave ((i)) ended at 17949, followed by a dip in wave ((ii)) ending at 17386. The subsequent wave ((iii)) saw an extension higher, with internal subdivisions suggesting another impulse in a lesser degree. This wave saw wave (i) ending at 18348, wave (ii) dipping to 18165, followed by wave (iii) ending at 18760, wave (iv) at 18545, and wave (v) at 19023.
Zig Zag Elliott Wave Structure
The pullback in wave ((iv)) followed a zig zag Elliott Wave structure, with wave (a) ending at 18802, wave (b) at 18933, and wave (c) completing at the 18621 low. The subsequent rally in wave ((v)) completed an impulse as wave (i) of ((v)) at 18956 high.
Looking ahead, as long as the pivot at 18621 low remains intact, there is an expectation for a correction in 3 or 7 swings in wave (ii) before a resumption of the upside in wave (iii) of ((v)). The short term upside target is projected towards the 19117 – 19270 area as a minimum extension, with the condition that dips remain above the 18623.85 low. However, a break below this low could signal a double correction, with a potential retest of the lows before a further move higher.
The Short Term Elliott Wave analysis in Nasdaq Futures provides a detailed view of the current market movements and projected patterns. It is essential for traders and investors to closely monitor these wave counts and subdivisions to make informed decisions in the market. By understanding the Elliott Wave theory and its application to real-time market scenarios, individuals can gain an edge in their trading strategies and risk management approaches.