Nasdaq 100 Elliott Wave Weekly Update - Sunday, June 7

By Michael Filighera of Logical Signals

Technical Analyst & Trader • Jun 7, 2026 at 6:00 AM EDT

Strong non-farm payroll data triggered a massive Nasdaq sell-off as markets priced in potential rate hikes by 2026.

depositphotos_74703935-stock-photo-business-people-group.jpg — Source: DepositPhotos

In this week's Weekly Update, I analyze the massive sell-off that occurred on Friday, which was primarily sparked by semiconductor stocks. I discussed how market hedges were being thinned out in the lead-up to Friday's expiration, leaving the market vulnerable to a sudden collapse when non-farm payroll data came in stronger than expected.

I explained that Treasury bonds sank following the employment data, with credit markets now fully pricing in a rate hike by December 2026, representing a significant shift in market expectations. I noted that the COR implied volatility index had broken below 8, which, according to Spot Gamma, signals aggressive stock call positioning and increased market vulnerability, with the COR1m spiking higher on Friday.

I concluded that the Nasdaq had likely reached the high of primary wave three and was beginning a primary fourth wave correction, potentially targeting support levels around 10,440. The SpaceX IPO scheduled for the following week potentially provided some support to the market.

Video Length: 00:58:11

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