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The Gold Miners ETF (GDX) is showing promising signs for investors as it approaches a critical support zone. Since the low on December 30, 2024, GDX has been tracing a five-wave impulse pattern. This is a hallmark of bullish momentum in Elliott Wave analysis. The first wave (wave (1)) peaked at $42.66, followed by a pullback to $38.58 in wave (2). From there, GDX surged in wave (3) to $53.25, as seen on the one-hour chart below. Currently, the ETF is in a corrective wave (4), unfolding as a zigzag pattern, which is nearing completion.

The zigzag’s wave A dropped to $46.73, with its internal structure showing five sub-waves. Wave ((i)) at $50.95, a rally to $52.99 in wave ((ii)), a decline to $47.77 in wave ((iii)), a bounce to $50.09 in wave ((iv)), and a final dip to $46.73 in wave ((v)). Wave B then rallied to $51.39, also as a zigzag, with sub-waves ((a)) at $49.1, ((b)) at $48.05, and ((c)) at $51.39. Now, wave C is underway, with wave ((i)) at $48.72, wave ((ii)) at $50.48, and wave ((iii)) at $44.45. Wave ((iv)) is expected to conclude soon, leading to a final drop in wave ((v)) to the $40.81–$44.86 blue box range.

This blue box area represents a key support zone where buying interest is likely to emerge. Investors should watch this range closely, as it could mark the end of the correction and the start of the next leg higher in wave (5). With GDX poised at this critical juncture, the setup favors taking long positions in anticipation of a bullish reversal.

Gold Miners (GDX) 60-Minute Elliott Wave Technical Chart

GDX hourly chart showing current wave structure with projected targets and critical support

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