XLV Made New Highs After Ending Flat Correction

In this technical blog, we will look at the past performance of 1 hour Elliott Wave Charts of XLV, which we presented to members at the elliottwave-forecast. In which, the rally from 04 March 2021 low unfolded as an impulse structure. And showed a higher high sequence favored more upside extension to take place. Therefore, we advised members not to sell the ETF & buy the dips in 3, 7, or 11 swings at the blue box areas. We will explain the structure & forecast below:

XLV 1 Hour Elliott Wave Chart

Above is the 1hr Elliott wave chart of XLV from the 6/02/2021 Midday update. In which, the rally to $125.19 high ended wave 3 of an impulse sequence coming from 3/04/2021 low. Down from there, the ETF made a pullback in wave 4 to correct the cycle from the 3/05/2021 low. The internals of that pullback unfolded as Elliott wave flat structure where wave ((a)) ended in 3 swings at $121.40 low. Wave ((b)) bounce ended in another 3 swings at the $125.66 high. Wave ((c)) then managed to reach the blue box area at $121.80- $120.06 blue box area. From there, buyers were expected to appear looking for further upside ideally or for a 3 wave bounce at least.

XLV Latest 1 Hour Elliott Wave Chart

Here’s the latest 1hr Elliott wave chart of XLV from the 6/16/2021 Post-Market update. The ETF is showing a strong reaction higher taking place from the blue box area after ending the flat correction at $120.61 low. Allowed members to create a risk-free position shortly after taking the long positions at the blue box area.

Source: https://elliottwave-forecast.com/stock-market/xlv-made-new-highs-ending-flat-correction/