SP500 technical analysis and NASDAQ analysis for today October 6th using Elliott Wave Theory- The bulls passed a major test and now face an even bigger one. Are they up to the task?

SP500 Technical Analysis

SP500 technical analysis is telling us that the bulls passed a major test by holding the wave 4 support area and racing higher for a wave 5 to complete 5 up off of the lows. This is a strong indication the bulls have returned but they still have work to do. They need to hold wave 2 support in the 3629-3695 range and move back over Wednesday’s high and push through the pivot. If they can do that we are well on our way to a bottom being in.

However, if they can’t hold support we are looking at 3250-3450 to complete wave 5.

NASDAQ Analysis

NASDAQ analysis is telling us that the bulls passed the NASDAQ test as well holding support for a wave 4 and moving back over Tuesday’s high. This gives us a clean 5 waves up but the bulls still have work to do. They need to hold support for a wave 2 at 11091-11313 then move back over Wednesday’s high and then the pivot to tell us we are well on our way to putting in a low.

However, if they can’t hold support then we are looking at the 10400-10100 levels lower.