Nasdaq 100 and Russell 2000 Update
Nasdaq 100 and Russell 2000 Update
Nasdaq 100
The Nasdaq 100 index failed to cross the 40DEMA in this recent pullback and now it appears that the Nasdaq 100 index has started its next leg of the down move as the daily RMI has given a bearish crossover. As per the wave counts, wave 3 of C can possibly unfold. At 8880, wave 1 and 3 of C will be equal. On the way up, the 40DEMA at 11490 and the high of 11682 will be crucial upside levels to watch out for. In short we expect wave 3 down toward 8880 to unfold over the coming months in the next leg of the bear market.
Russell 2000
Most US indices show a similar wave structure where wave 3 of C down is starting because wave 2 almost retraced 61.8%. Wave 2 is also three waves marked as a-b-c, a clear corrective rally in the Russell inside a bear market. Wave 3 could go to 1500 in the next wave of selling in the coming months.
20221103
