Hiya everybody. In at present’s article, we’ll have a look at the previous efficiency of the 4H Hour Elliott Wave chart of SPDR Shopper Staples ETF ($XLP). The rally from 5.31.2024 low unfolded as 5 waves impulse. So, we anticipated the pullback to unfold in 3 swings and discover patrons once more. We’ll clarify the construction & forecast under:
5 Wave impulse construction + ABC correction
$XLP 4H Elliott Wave chart 10.03.2024:
Right here is the 4H Elliott Wave rely from 10.03.2024. The 5 wave impulsive cycle from 5.31.2024 ended on 9.16.2024 at blue (3) and began a pullback. We anticipated the pullback to seek out patrons on the blue field space at 81.33 – 80.00 in 3 swings.
$XLP 4H Elliott Wave Chart 10.15.2024:
Right here is the most recent 4H replace from 10.15.2024, exhibiting the bounce going down as anticipated. The cycle from the height at blue (3) has ended and the ETF has reacted greater from the blue field space permitting longs to get threat free. The ETF is anticipated to stay supported with a goal space in direction of $85 – 87 space earlier than one other pullback can occur. Alternatively, the bounce can fail and proceed decrease in a 7 swings correction so chasing now might be dangerous. A break of blue (3) excessive will affirm the following leg greater and negate the opportunity of a double correction.
