SP500 technical analysis and NASDAQ analysis for today August 16th using Elliott Wave Theory- The bulls were pushed to the edge today and need to fight back. But will they?

SP500 Technical Analysis

SP500 Technical analysis is telling us that the market broke down to the .618 and is on the edge of a major breakdown. If they can break yesterday’s low and then 4425 we should see at least 4388. For an impulsive move it would be better if they continued to push down to the 4352 for the C wave down.

However, if they hold the low and push back over 4500 then we can see an ABC back to the 4530-60 area.

NASDAQ Analysis

NASDAQ analysis is telling us that the NASDAQ held support and pushed higher as expected. From here we would look for a wave 4 bounce in the diagonal setup then 5 down towards the 14750-800 area.

However, if they break below Sunday’s low the door opens to 14763 area for wave 5 directly