Nike Inc. blue box area offered a buying opportunity

In today’s article, we’ll examine the recent performance of Nike Inc. ($NKE) through the lens of Elliott Wave Theory. We’ll review how the rally from the February 07, 2025, low unfolded as a 5-wave impulse and discuss our forecast for the next move. Let’s dive into the structure and expectations for this stock.

Seven swings WXY correction

$NKE one-hour Elliott Wave chart 3.03.2025

In the 1-hour Elliott Wave count from March 03, 2025, we see that $NKE completed a 5-wave impulsive cycle beginning on February 07, 2025, and ending on February 26, 2025, at the blue (1). As expected, this initial wave prompted a pullback. We anticipated this pullback to unfold in 7 swings, likely finding buyers in the equal legs area between $76.70 and $74.05.

This setup aligns with a typical Elliott Wave correction pattern (WXY), where the market pauses briefly before resuming the main trend.

$NKE one-hour Elliott Wave chart 3.10.2025

The update, from March 10, 2025, shows that $NKE reacted as predicted. After the decline from the recent peak, the stock found support in the equal legs area, leading to a bounce. As a result, traders could adjust to go risk-free.

Conclusion

In conclusion, our Elliott Wave analysis of Nike Inc. ($NKE) suggested that it could bounce in the short term. Therefore, traders should be risk-free and keep an eye out for any corrective pullbacks. By using Elliott Wave Theory, we can identify potential buying areas and enhance risk management in volatile markets.