Recent Elliott Wave analysis on NASDAQ indicates a SHORT opportunity is unfolding. The completion of an impulsive wave structure and the start of a corrective ABC pattern suggest a potential downturn. The current price action facing resistance, along with the projection of wave (c) potentially reaching the 1.618 Fibonacci extension level of wave (a), aligns with a bearish outlook.
With overbought conditions and bearish divergence signals on key oscillators, the technicals support this view. Economically, headwinds from interest rate discussions and valuation concerns provide a backdrop for a pullback.
In preparation, strategic entry points are set above current support levels, with targets near the Fibonacci extension and tight stop-losses to manage risk. The aim is to capitalize on the projected corrective wave, leveraging the confluence of technical patterns and broader market sentiment.