Wave (iv) in progress, setting up for wave (v) of ((c)) of 2

As of April 17, 2025, the NQ 1-hour chart reveals a developing Elliott Wave corrective pattern. According to the current count, price action suggests that Wave (iv) is underway and nearing completion, with expectations of a final move lower into Wave (v) to complete the larger Wave ((c)) of 2 structure.

Current structure recap

The broader structure being followed here is a classic five-wave decline within Wave ((c)), as part of a higher-degree corrective Wave 2. Here’s a breakdown of what we’re seeing:

• Wave (i) started the impulsive decline from the top of Wave 1.

• Wave (ii) retraced the initial drop but failed to breach the trendline drawn from the peak.

• Wave (iii) followed with a sharp, impulsive move lower — now confirmed with steep candles and continuation of the trend.

• The market is now rebounding into Wave (iv), a corrective bounce inside a descending channel.

Notably, the invalidation level is marked at 452.63. If price moves above this level, the current wave count would be invalidated and would require reassessment.

What to expect next

Based on the current structure and descending channel on the chart:

• Wave (iv) appears to be approaching completion below the invalidation level.

• Once complete, we expect the market to begin Wave (v), targeting the lower boundary of the descending channel.

• This would mark the end of Wave ((c)) and therefore complete Wave 2 of the larger degree.

The lower bound of the channel intersects around the $424 area, which aligns as a probable zone for Wave (v) to conclude.

Conclusion

In summary, the NASDAQ is in a critical juncture. Wave (iv) is playing out now, and as long as price remains below the invalidation level at 452.63, the bias remains bearish. We are watching closely for the completion of Wave (v) to finalise Wave ((c)) of 2, potentially around the lower bound of the current descending channel.

From there, a pivot could set the stage for a significant new trend. Until then, all eyes remain on the unfolding of this last leg lower.