Nasdaq Elliott Wave: End of correction?

💡 DMK Insight

The Nasdaq’s recent sideways trading and the retest of the range low could signal a pivotal moment for traders. After three months of consolidation, the impulsive rally following the retest suggests a potential shift in momentum. Traders should be cautious, though; the previous decline was messy, indicating underlying volatility. If the Nasdaq can hold above the recent low, it might attract buyers looking for a breakout, but failure to maintain this level could lead to further selling pressure. Watch for key resistance levels that could emerge as the market attempts to establish a new trend, particularly if it breaks decisively above the recent highs. Keep an eye on correlated assets like tech stocks, as they often move in tandem with the Nasdaq, and monitor sentiment indicators for signs of institutional interest or retail exuberance.