Nike (NKE) has been under significant selling pressure, but the recent decline from the August highs appears to be approaching an important turning point. We can now identify a potential five-wave bearish impulse, suggesting that the larger corrective cycle may be nearing completion. The stock is trading around the previously highlighted 30–35 support zone, where buyers may finally start stepping in. While the broader trend remains bearish, the completed five-wave structure could signal the beginning of a more meaningful recovery over the coming months.
The first signs of stabilization are already visible, and the initial upside target for a potential rebound stands around 45–47. However, the recovery could eventually extend further, especially if bullish momentum starts building and the stock manages to reclaim intermediate resistance levels. One particularly interesting area is the unfilled gap from March, located near 52, which could act as a magnet for price in the coming weeks or months, while also representing an important resistance zone.
From an Elliott Wave perspective, we are watching whether the five-wave decline from the August highs has completed a larger wave C or another bearish leg within the broader corrective structure. If support holds, a three-wave recovery could be the first step towards a larger corrective advance. However, confirmation is still needed, and we would like to see sustained upside momentum before becoming more confident in a potential trend reversal.
Highlights:
Nike may have completed a five-wave bearish impulse from the August highs.
The 30–35 area remains the key projected support zone to watch.
Early stabilization suggests that buyers may be starting to return.
Initial upside recovery target stands around 45–47.
The unfilled March gap near 52 could become the next major upside target and resistance area.
The broader trend remains bearish, but a larger corrective recovery could develop over the coming months.
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