Nasdaq 100 Rally Continues as Elliott Wave Points to 24770-25570

Elliott Wave analysis suggests the NASDAQ100 (NDX) is in the final stages of an upward impulse, with the current rally from the September 2 low projected to reach an ideal target of 24770, potentially extending to 25570 based on Fibonacci and wave equivalency guidelines. Following this peak, a roughly 5% correction is anticipated before the index resumes a rally towards 26,000+, with specific warning levels provided to monitor the strength and potential exhaustion of the current upward move.

Analysis

According to Elliott Wave (EW) technical analysis, the NASDAQ100 index (NDX), tracked by the Invesco QQQ Trust (QQQ), is in the final stage (Wave-v) of an upward impulse move that began in early April. The current rally from the September 2nd low is projected to reach an ideal target zone between 24770 and 24882, based on a 200.0% Fibonacci extension and wave equality principles. A further extension to a secondary target as high as 25570 is considered viable. Following the completion of this peak, the analysis anticipates a significant, roughly 5% correction before the index is positioned for a subsequent rally toward the 26,000+ level. To manage this outlook, the analysis provides specific, cascading warning levels at 24347, 24173, 23999, and 23475; a decline below these levels would progressively increase the probability that the bullish rally has concluded and a top is in place.

Key Decisions for Investors

• Investors with a bullish thesis on the NASDAQ100 could maintain or establish long positions, targeting the 24770-24882 price zone, while remaining prepared for a potential extension towards 25570.
• It is critical to implement risk management by closely monitoring the provided warning levels, starting at 24347, as a breach would serve as an objective signal to reduce exposure or hedge against a potential market top.
• Traders should anticipate a roughly 5% correction after the index reaches its peak, which could offer a strategic entry point for the subsequent forecasted rally towards the 26,000+ level.