EWT’s Nasdaq-100 Forecast

Near-Term Nasdaq-100 

Introduction to Elliott Wave Technology’s periodical briefs 

As a service to the financial, investment, and trading communities, and in holding our longer range forecasts to task, on a rotational basis, we shall provide periodical briefs for each of the seven broad markets covered within our premium publications. 

The near-term chart and forecast shared herein shall provide a brief summary as to where it resides within four of Elliott’s nine fractal degrees of trend: 

•  Minor Degree [1, 2, 3, 4, 5, a, b, c, etc.]      
•   Minute Degree [1, 2, 3, 4, 5, a, b, c, etc.]    
• Minuette Degree [1, 2, 3, 4, 5, a, b, c, etc.] and
•  Sub-Minuette Degree [1, 2, 3, 4, 5, a, b, c, etc.] 

This brief contains a highly condensed rendition of the more thorough coverage dispatched via multi-chart video presentations supplied with our Near Term Outlook publication. 

This brief shall impart unbiased technical assessments along with equally viable alternate prospects relative to this markets near-term directional outlook.  Without further ado, we present to you, recent price action observed in the…

…NASDAQ-100 Daily Bar Chart

Assessment and Forecast | Near-Term: 

Bullish Perspectives:
From its 1700 print low in July of 2010, the Nasdaq-100 has traced out a clear five-wave upward advance.  In observing that low as wave ‘b’ at the Minor degree, the subsequent five-waves of advance currently nearing completion is then viewed as taking place at the smaller Minuette degree.  Once the current Minuette 5^th wave is complete, it will mark terminal to Elliott’s next fractal one dimension larger, which would cite the noted -1- wave at the Minute dimension of trend.  Since October of 2010, our proprietary indicator located in the lower panel of the chart continues to display a firmly bullish trending posture for the NDX. 

Bearish Perspectives:
An equally viable bearish prospect is observed when calibrating the July 2010 low as that of a 4^th wave terminal at Minor degree.  Doing so raises the odds that the current five-wave advance is nearing a fifth-wave-end rather than a first-wave-start to its Minute degree wave sequence.  This rather bearishly implies that the current advance will end a completed five-wave Minor degree structure from the bear market lows registered in 2008-2009. Bearish momentum divergences persist against the recent succession of fresh print highs posted in the Nasdaq-100.

Until next time,Trade Better/Invest Smarter