Bearish reversal underway in S&P, NASDAQ futures and DJT

The recoveries in most US and European stock indexes since late-March are corrective. This especially true in S&P futures and in the Down Jones Transportation Average (charts 1 and 2). The chart that stands out is NASDAQ futures, where prices climbed to a new all-time high, creating one of the broadest bearish non-confirmations of all time (chart 3). The ideal trajectories are outlined on the chart with measured targets at 2003 and 5228 for S&P futures and DJT, where we would achieve equality with the February/March downleg. As for NASDAQ futures, a strong target zone is the 8555 - 8386 area of the wave (iv) low and 50% retracement level, although greater downside potential exists. Ivo Z

Disclaimer: This is not trading advice! I am merely expressing my opinion, utilizing the Wave Principle as my main tool. You should always do your own research before risking your hard-earned money. The opinion expressed in this post is only for educational purposes only!

Comment:

As you can see S&P and DJT, the weaker indexes follow the path perfectly. However, NASDAQ made a new high with $150 dollars above the high I projected. Did this invalidate the NASDAQ scenario?

No, NASDAQ is still likely to experience this corrective pullback to around 8.5k or lower.