Nikkei (NKD_F) Looking for Further Downside Correction

CME:NKD1!   Nikkei/USD Futures
Short Term Elliott Wave view in Nikkei (NKD_F) suggests that rally to 37014 ended wave 3. Wave 4 pullback is currently in progress as a double three Elliott Wave structure. Down from wave 3, wave (a) ended at 36060 and wave (b) ended at 36590. Down from there, wave i ended at 36115 and wave ii ended at 36425. Wave iii ended at 35910, wave iv ended at 36330, and final leg wave v ended at 35700. This completed wave (c) of ((w)) in higher degree. The Index then rallied in wave ((x)) with internal subdivision as an expanded flat.

Up from wave ((w)), wave (a) ended at 36290 and wave (b) ended at 35680. Wave (c) higher ended at 36410 which completed wave ((x)) in higher degree. The Index has turned lower in wave ((y)), but it still needs to break below wave ((w)) at 35700 to rule out any double correction. Down from wave ((x)), wave i ended at 35820 and wave ii ended at 36165. Expect the Index to see further downside to end wave (a) of ((y)) as an impulse. Then it should rally in wave (b) of ((y)) before turning lower again in wave (c) of ((y)) of 4. Near term, as far as pivot at 37014 high stays intact, expect rally to fail in 3, 7, 11 swing for further downside.

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