Nasdaq 100: First Stage of a Major Correction

The Nasdaq 100 has plummeted over 11% from its record high of 22,222. With prices now testing key support at 19,437, the index closed slightly higher at 19,753 (+0.39%) on Friday. However, weakness remains evident, indicating the first stage of a potential major correction. Historically, corrections unfold in four stages as part of a healthy market reset.
If support at 19,437 holds, a short-lived rebound could target 19,932, 20,054, 20,433, 20,744, and potentially 21,050. Failure to maintain this level could trigger stage two, aiming for 17,825. Historical patterns suggest a possible four-stage correction of around 33%, targeting approximately 14,835.