QQQ (Nasdaq) - Weakness ahead

Technical Analysis: Elliott Wave | QQQ CMP: 490.85 | Dt - 15th Oct'24

Tl;dr - QQQ, which has had an extended Wave 3 advance is currently in its Wave 4 corrective pattern. This pattern should see it test further lows in the ongoing A-B-C correction. Once the ongoing retracement ends, it should start its last Wave 5 advance to new highs.

Key Highlights - EW Analysis by AlgoChirp

• QQQ is currently in corrective Wave 4. Within this wave Wave B is playing out in an Ending Triangle pattern and it appears to be in its last leg. With this a Wave C decline should commence, dragging the index lower.

• If RSI breaks above the sloping trend line & if price makes a new high then it would be a good indication that Wave 5 has started.

• Alternate count (Daily Chart) - Although it has a very low probability at this stage, the alternate count suggests ABC correction has already ended and Wave 5 advance is underway.

Chart #1 - Weekly

Chart #2 - Daily

Analyst Rating vs EW count

Analyst rating suggests bullish outlook for QQQs. Per EW, short term projection is for price to make lower lows

• Analyst rating is “not In sync” with EW count